Chinese money launderers moved more than $16 billion of illicit crypto in 2025, report finds

Summary

New research from blockchain analytics firm Chainalysis finds Chinese-language money laundering networks processed an estimated 20% of all illicit on-chain cryptocurrency in 2025 — roughly $16.1 billion, or about $44 million a day. Chainalysis estimates $82 billion was laundered on-chain in 2025, up sharply from around $10 billion in 2020.

These groups have professionalised: they advertise on Telegram, use “guarantee” escrow marketplaces, rely on money mules and specialised “Black U” services that wash funds stolen via hacks, scams and exploit attacks, and offer swapping services to convert crypto into other assets. They handle a notable share of funds from pig-butchering scams and have adapted quickly when platforms or vendors are sanctioned or removed.

Key Points

Chainalysis attributes roughly 20% of illicit on-chain crypto flows in 2025 to Chinese-language laundering networks.
Estimated total laundered by these networks in 2025: $16.1 billion (about $44 million per day).
Chainalysis estimates $82 billion was laundered on-chain in 2025, up from ~$10 billion in 2020.
Operators use Telegram, escrow-style “guarantee” marketplaces, money mules, “Black U” services and swapping to obscure origins of funds.
These services are marketed widely and have become cross-border, serving transnational organised crime groups in Europe and North America.
Sanctions and takedowns (eg. actions against Huione Group, Prince Group and associated actors) have disrupted channels but vendors migrate to other platforms.
Chinese laundering networks process a meaningful share (around 10%) of funds stolen in pig-butchering scams, per Chainalysis.
High-profile enforcement actions include sanctions, licence revocations and large asset seizures and extraditions tied to alleged scam empires.

Context and relevance

This matters for regulators, exchanges, compliance teams and law enforcement: the scale and professionalisation of these networks show on-chain laundering is growing fast and evolving tactics to evade takedowns. It underscores the limits of spot sanctions and channel removals when vendors can quickly reappear on other platforms and highlights why stronger cross-border co‑operation, improved on‑chain analytics and tighter compliance at on‑ and off‑ramps are being prioritised.

Author’s take (punchy)

Big numbers, sharper tactics. Chainalysis shows crypto laundering has moved from ad hoc schemes to professional service industries — and that should worry anyone involved in crypto compliance or crime-fighting. Read the detail if you want to understand how criminals adapt and where enforcement gaps remain.

Why should I read this?

Short version: if you work in crypto, finance, compliance or cybercrime, this is exactly the kind of update you want in your inbox. It’s a quick read that tells you how laundering networks actually operate, why earlier takedowns aren’t enough, and what to watch next. We did the digging so you don’t have to — skim this and you’ll know the essentials.

Source

Source: https://therecord.media/chinese-money-launderers-moved-more-crypto-2025