On May 14, Myanmar’s military unveiled a draft bill proposing life sentences for individuals implicated in cryptocurrency scams.

Summary

  • The Anti-Online Scam Bill in Myanmar proposes life imprisonment for operating digital currency scams.
  • The legislation includes the possibility of the death penalty for those using violence, torture, or unlawful detention to force victims into scam activities.
  • The military-aligned parliament is scheduled to reconvene in the first week of June to continue discussions on this bill.

Known as the Anti-Online Scam Bill, the draft stipulates that individuals convicted of “digital currency fraud” or operating an online scam center could face sentences ranging from ten years to life in prison.

The bill permits capital punishment for those who use “violence, torture, unlawful arrest, detention, or cruel treatment” to compel individuals to engage in online scams.

Military bill targets digital currency fraud with harsh penalties

The parliament, viewed by analysts as a rubber-stamp institution, is slated to convene in the first week of June.

This bill marks the first legislative effort from the new government led by coup leader Min Aung Hlaing, who assumed power last month.

Internet fraud operations have emerged as a significant regional problem. According to the FBI’s recent crime report, cryptocurrency fraud losses in the U.S. reached $11.4 billion, with more than half of all online crime losses tied to crypto schemes. Many of these operations are based in Southeast Asia.

U.S. authorities have notably stepped up enforcement actions. In April 2026, the DOJ froze $701 million in cryptocurrency linked to global scam networks, specifically citing operations in Myanmar and Cambodia that exploit trafficked or coerced individuals for large-scale fraud.

The scale of scams in Myanmar is well-documented. Chainalysis revealed that romance scams based in the KK Park compound in Myawaddy alone extracted nearly $100 million in cryptocurrency from victims around the world between 2022 and 2024.

This bill reflects a broader regional trend. In March 2026, Cambodia enacted anti-fraud laws imposing up to ten years in prison for scam leaders. Singapore is also preparing to launch a dedicated Cyber Command enforcement unit by July 2026.