A new investigation reveals that some of the world’s most well-known banks have unknowingly played a role in a massive international scam operation that targets U.S. citizens.
According to ProPublica, Asian crime syndicates running “pig butchering” scams—a type of fraud where victims are emotionally manipulated before being financially exploited—have used banks like Bank of America, Citibank, Chase, HSBC, and Wells Fargo to help funnel stolen money overseas.
The scheme, which reportedly generates $44 billion a year, often begins with victims being tricked into wiring funds to U.S. bank accounts. Those funds are then quietly converted to cryptocurrency and sent to criminal networks based in compounds in Southeast Asia, including Cambodia, Laos, and Myanmar. Eventually, the digital assets are turned back into fiat currency.
The report highlights a thriving underground market for renting U.S. bank accounts, often advertised in Chinese-language Telegram groups. These accounts serve as key entry points in the money laundering chain.
Despite increased scrutiny, the American Bankers Association says that completely stopping fraud is nearly impossible. “Bad actors exploit banks’ reputations and hide behind fake identities or shell companies,” the group told ProPublica, adding that even with rigorous controls, scammers still find ways through.
The revelations underline how even the most trusted financial institutions can be unknowingly entangled in sophisticated global crime operations—despite growing efforts to tighten compliance and detect red flags.
Alexander Zdravkov
Reporter at Coindoo
Alexander Zdravkov is passionate about questions of meaning. He is a fluent German speaker as well as He has been in the crypto space for more than three years and has an eye for spotting emerging trends in the world of digital currencies. Whether providing in-depth analysis or reporting on all topics on a daily basis, his deep understanding and enthusiasm for what he does makes him a valuable addition to the team.
Source: https://coindoo.com/major-banks-unwittingly-used-in-billion-dollar-global-scam-network/