Blockchain intelligence reveals record illicit activity fueled by geopolitical networks and professionalized laundering infrastructure
Illicit cryptocurrency activity reached an unprecedented $154 billion in 2025, marking a 162% increase from the revised $57.2 billion total for 2024, according to blockchain intelligence data. Despite representing less than 1% of all crypto transaction volume, this growth highlights the increasing professionalization of onchain criminal infrastructure and the growing role of state-linked actors in bypassing sanctions and financial restrictions.
Stablecoins Dominate Illicit Transactions
Stablecoins accounted for 84% of all illicit transaction volume in 2025, reflecting their low volatility and cross-border transferability. Criminal networks leveraged full-stack infrastructure services—including exchange access, laundering, and hosting—to conduct large-scale operations while resisting regulatory enforcement.
State-Linked Actor Activity
North Korea, Russia, Iran, and Chinese networks drove much of the surge. North Korean hackers stole approximately $2 billion, including the $1.5 billion Bybit exploit, the largest digital heist recorded. Russian entities utilized the A7A5 ruble-backed stablecoin for over $93 billion in transactions, despite sanctions from the U.S. and EU. Iranian proxy networks facilitated $2 billion in onchain transactions for illicit oil sales, arms procurement, and related operations.
Chainalysis data shows illicit crypto increasingly relies on integrated criminal supply chains providing laundering-as-a-service and infrastructure for ransomware, fraud, and state-backed sanctions evasion. The overlap between onchain crime and real-world coercion, including human trafficking and targeted attacks, underscores the evolving risks in the cryptocurrency ecosystem.
Disclaimer
This content is for informational purposes only and does not constitute financial, investment, or legal advice. Cryptocurrency trading involves risk and may result in financial loss.