The United Nations has issued a stark warning regarding the proliferation of cybercrime organizations that are orchestrating scams worth billions of dollars across Southeast Asia, a trend that is expanding globally. According to a report published on April 21, 2025, by the United Nations Office on Drugs and Crime (UNODC), these transnational crime networks are infiltrating and extending their reach into regions such as the Pacific, Africa, South America, and South Asia.
These cybercriminal organizations primarily operate from Myanmar, Cambodia, and Laos, utilizing trafficked labor from dozens of countries. The UNODC report highlights that the rise of new illegal online markets, particularly those integrated with e-money platforms, is facilitating money laundering and connecting criminals worldwide.
“There are hundreds of large-scale fraud operations generating tens of billions of dollars in profits each year,” the UNODC stated. Despite recent crackdowns led by China, Thailand, and Myanmar in lawless areas along the Thailand-Myanmar border, where Thailand has cut off electricity, fuel, and internet access to fraud compounds, these criminal organizations have shown remarkable adaptability.
They have shifted their operations to remote, vulnerable, and less prepared areas in Southeast Asia, particularly in Laos, Myanmar, and Cambodia, as well as moving online. The report notes a concerning trend of criminals transitioning from land-based internet connections to satellite services like Starlink, especially when they relocate to areas lacking internet or when governments cut off cross-border connections.
“The spread of sophisticated crime networks in areas with weak governance attracts new actors, fuels corruption, and allows the industry to expand,” the UNODC report emphasized. This expansion has led to a situation where criminals can freely choose and shift their operational areas and assets based on demand, often outpacing governmental control.
John Wojcik, a regional analyst for UNODC, remarked, “The issue of online fraud in the region has surpassed other forms of transnational crime due to its scalability and the ability to reach millions of potential victims online, without the need for transporting or smuggling illegal goods across borders.” In 2023, it is estimated that countries in East and Southeast Asia lost up to $37 billion due to online fraud, with the United States alone reporting losses exceeding $5.6 billion from cryptocurrency scams, including over $4 million from sophisticated schemes known as pig butchering.
Pig butchering is a form of online scam where perpetrators invest time and effort to build trust and emotional connections with victims, often through social media, dating apps, or private messaging. Once the victims are emotionally invested, they are persuaded to invest money in projects like cryptocurrency trading, stocks, or “virtual” financial platforms created by the scammers. Ultimately, when victims invest significant amounts of money, the scammers disappear with all the funds.
The UNODC report also indicates that Southeast Asian cybercrime organizations are increasingly collaborating with other major crime networks globally, including South American drug cartels, the Italian mafia, and Irish gangs. For example, a network in China has been implicated in helping Mexican drug cartels launder money and resell foreign currency in underground banking markets.
To sustain their operations, these organizations require hundreds of thousands of trafficked victims and accomplices working within fraud complexes. Victims come from at least 56 countries, predominantly from Asia and Africa. The UNODC has noted a worrying trend of these cybercrime organizations establishing bases in Africa, including Zambia, Angola, and Namibia, as well as in Eastern Europe, particularly Georgia.
These gangs are diversifying their labor forces, recruiting individuals from multiple nationalities to evade anti-trafficking campaigns. Recently, citizens from over 50 countries, including Brazil, Nigeria, Sri Lanka, and Uzbekistan, have been rescued during raids along the Thailand-Myanmar border.
UNODC warns that the international community is at a critical juncture. “If this issue is not addressed, Southeast Asia will face unprecedented consequences that could ripple globally,” the report cautioned.
A separate report from October 2024 highlighted that criminal networks in Southeast Asia are extensively using Telegram, a widely popular encrypted messaging app. This platform has fundamentally transformed how organized crime conducts illegal activities on a large scale. Hacked data, including credit card details, passwords, and browsing histories, is traded publicly on Telegram, where large channels operate with minimal oversight.
Cybercriminals utilize tools like deepfake software and data-stealing malware, which are sold widely on Telegram, while unlicensed cryptocurrency exchanges offer money laundering services. The UNODC has observed clear evidence that underground data markets are transitioning to Telegram, with providers actively targeting transnational organized crime groups based in Southeast Asia.
Southeast Asia has emerged as a significant hub for a multi-billion dollar industry that exploits victims worldwide through fraudulent schemes. Many of these organizations are Chinese gangs operating in fortified complexes, employing trafficked laborers. UNODC estimates that this industry generates between $27.4 billion and $36.5 billion annually.
Benedikt Hofmann, Deputy Representative of UNODC in Southeast Asia and the Pacific, stated that Telegram serves as an environment that facilitates criminal activities. “For consumers, this means their data is at a higher risk than ever of being used in scams or other criminal activities,” Hofmann remarked.
The sheer scale of profits earned by crime groups in Southeast Asia necessitates innovation. According to the UNODC, these groups have integrated new business models and technologies, including malware, generative AI, and deepfakes, into their operations to maximize their illicit gains.
