U.S. Disrupts Xinbi Guarantee Scam Marketplace, Freezes $52.8 Million in Crypto

On September 9, 2026, the U.S. Department of Justice (DoJ) announced a coordinated law enforcement operation targeting Xinbi Guarantee, an illicit online marketplace that provided scam-as-a-service offerings. The action included seizing Telegram channels used to operate the service, confiscating two cryptocurrency wallets, and freezing approximately $52.8 million in digital assets linked to the operation. Additionally, the DoJ deployed the Scam Center Strike Force to Madagascar, where authorities worked to disrupt 13 scam compounds allegedly run by Chinese organized crime groups. This operation represents a significant step in combating transnational cyber-enabled fraud and the infrastructure that supports it. The DoJ's actions aim to dismantle the operational backbone of the marketplace, preventing further victimization of individuals worldwide. While the exact technical details of the seizure are not fully disclosed, the coordinated effort underscores the growing focus on disrupting financial and communication channels used by cybercriminals. The deployment to Madagascar highlights the international scope of these scam networks and the need for cross-border cooperation. The DoJ has not released specific information about the victims or the full extent of the scams, but the scale of the frozen assets suggests a substantial operation. This disruption is part of a broader initiative to combat online fraud, which has become increasingly sophisticated and organized. The seizure of Telegram channels is particularly notable, as such platforms are commonly used by cybercriminals to coordinate activities and reach potential victims. The operation also signals a shift toward targeting the financial infrastructure of scam networks, rather than only individual actors. As investigations continue, further details may emerge about the methods used by Xinbi Guarantee and the broader network it served. For now, the DoJ's actions serve as a warning to those involved in similar illicit activities that their operations are not beyond the reach of law enforcement.