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Myanmar Unveils Draft Anti-Scam Law With Death Penalty, Life Terms for Crypto Fraud

The proposal signals a bid to reassure foreign partners after reports of trafficking-based scam compounds.

Overview

  • The military-backed parliament released the draft Thursday, May 14, proposing death for violent coercion and up to life for digital currency fraud or running scam centers.
  • Lawmakers are set to reconvene in the first week of June to consider the measure, with both passage and real-world enforcement still uncertain.
  • U.S. pressure has grown after an April DOJ action froze $701 million in crypto tied to global scam networks and an FBI report tallied $11.4 billion in crypto losses last year.
  • Reports detail fortified sites in places like Myawaddy that traffic or coerce workers to run romance and investment schemes, with one compound, KK Park, siphoning nearly $100 million in crypto from 2022 to 2024.
  • The draft also calls for a new committee to coordinate with foreign agencies, a step critics frame as image repair by Min Aung Hlaing’s civilian government.