Casinos in Sihanoukville, Cambodia received approximately $1.07 billion in cryptocurrency between January 1 and September 7, 2026, despite a government crackdown on fraudulent compounds and international sanctions against linked networks, according to blockchain intelligence firm TRM Labs.
The report states that 34 land-based casinos in the coastal city received the funds during this period. Casinos linked to networks designated by the US Treasury’s Office of Foreign Assets Control (OFAC) accounted for $687 million, or 64% of the total.
US sanctions, closures and raids
TRM Laboratories find This crypto continued to reach sanctioned casino operators months after US authorities announced their designations. From April 23 to September 7, entities related to Xihu Resort Hotel received $184 million. Entities attributed to Huan Hai Bo Lai International Investment received an additional $129 million during the same period. A casino associated with the Jin Bei Group received $9 million following the October 2025 designation of the Prince Group and associated entities.
Despite the continued flows, monthly crypto inflows appear to have declined. Casinos received an average of $148 million per month between January and May. This figure fell to around $95 million in July and August. Admissions to designated casinos have increased from an average of $100 million per month to around $48 million.
But TRM Labs believes that this drop may not reflect the bigger picture. Casino operators frequently change their wallet addresses, making it more difficult to track their transactions. Some funds could now pass through wallets that investigators have not yet identified.
The report also reveals that USDT on the TRON blockchain accounted for 99.9% of all cryptocurrencies received by casinos. TRM linked this preference to low transaction fees, strong liquidity and widespread adoption across Southeast Asia.
On-the-ground observations also suggest that the city’s crypto-to-cash network remains active. Casinos continue to accept USDT at checkouts and convert it into tokens and US dollars, with little apparent customer due diligence. Pawn shops, convenience stores, hotels, phone shops and currency exchange counters also offer cryptocurrency services.
This activity continues despite signs of a broader slowdown in Sihanoukville. TRM reported that several companies serving fraudulent workers have closed or scaled back operations. Casino halls that were occupied in 2025 are also operating below capacity, according to local observations.
Casino License Revocations
Cambodia faces growing pressure to dismantle fraudulent operations linked to online fraud and money laundering. On September 8, 2026, the country’s anti-scam commission announced that it had revoked 18 casino licenses and suspended nine others. The United States has also targeted networks linked to the sector. In April 2026, OFAC sanctioned Cambodian Senator Kok An and 28 related individuals and entities for their alleged involvement in scam center operations that defrauded Americans.
TRM Labs said the latest figures indicate that enforcement measures have not stopped crypto flows to casinos linked to designated networks.
The article Cambodia’s Casino Crackdown Didn’t Stop $1.07 Billion in Crypto Flows appeared first on CryptoPotato.
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