Coinbase and Tech Giants Strike ‘Pig Butchering’ Networks

The DOJ, Coinbase, SpaceX, and Meta joined forces in 'Disruption Week' to dismantle major crypto fraud infrastructure and freeze millions in stolen assets.

A major operation known as “Disruption Week” united the U.S. Department of Justice (DOJ), Coinbase, SpaceX, Meta, Google, Apple, and Microsoft in a direct strike against “pig butchering” schemes. This tactic has become one of the fastest-growing forms of financial fraud within the crypto sector.

The operation represents a significant pivot for the industry. While cryptocurrency exchanges were once viewed as havens for gray-market capital, they are now establishing themselves as active guardians of the global financial system.

Tech Giants Dismantle Global Fraud Infrastructure

Launched on May 18 and concluding in early June, the operation targeted criminal networks primarily based in Cambodia, Laos, and Myanmar. Rather than chasing individual scammers, participants attacked the underlying infrastructure that sustains these schemes.

SpaceX deactivated thousands of Starlink terminals used for internet access in the scam centers where attacks originated. Meta coordinated efforts among private companies, while Google, Microsoft, and other partners helped identify and block digital assets and communication channels.

In total, over 1.4 million social media accounts, email profiles, servers, and other online resources were disabled during the crackdown.

Coinbase Freezes Majority of Seized Crypto Assets

Among the participating companies, Coinbase played a pivotal role. Reports indicate the exchange independently froze over $3 million of the total $3.8 million in seized digital assets.

U.S. authorities noted that these fraud networks used cryptocurrencies as a primary tool for transferring and hiding funds obtained through fake investment platforms and romance scams. Often, victims were persuaded to invest their savings into non-existent crypto projects, after which the funds were moved through a complex web of wallets and exchanges.

The Escalating War Against Crypto Fraud

The DOJ highlights that crypto investment fraud is among the fastest-growing financial crimes worldwide. FBI data shows that reported losses reached over $7.2 billion in 2025, up from $5.8 billion the previous year.

Authorities believe that attacking communication infrastructure, internet access, and financial channels may prove more effective than traditional law enforcement methods focused on individual perpetrators.

For the crypto industry, the operation signals that major exchanges and tech firms are taking an increasingly active role against international fraud networks that have turned digital assets into a preferred tool for money laundering.

The remaining question is whether dismantling infrastructure in Cambodia and Myanmar will stop these schemes or simply push them toward less regulated regions and decentralized protocols (DEX), where intervention from companies like Coinbase is nearly impossible.