Cryptocurrency laundering has grown dramatically over the past five years, with Chinese-language networks becoming a key pillar of the global underground economy, according to new research from blockchain analytics firm Chainalysis.
The report estimates that more than $82 billion flowed through on-chain money laundering channels by 2025, up from about $10 billion in 2020. Chainalysis attributes the increase not only to the growing liquidity of crypto markets, but also to the professionalization of money laundering services that operate openly across messaging platforms and blockchains.
Chinese-language money laundering networks (CMLNs) now account for about 20% of known money laundering activity, the firm said. Inflows to these networks have grown thousands of times faster than to centralized exchanges or decentralized financial protocols since 2020, as criminals increasingly avoid places where funds can be frozen.
Chainalysis identified at least $16.1 billion processed by CMLNs alone by 2025, across 1,800 active wallets and six core service types. These range from “running point” brokers that provide initial access to bank accounts and exchange wallets, to scattered money-mule networks, informal OTC desks and so-called “Black U” services that openly trade tainted crypto at a discount.
At the center of the ecosystem sit Telegram-based “guarantee platforms,” which act as escrow and reputation hubs connecting buyers and sellers of money laundering services. Even when individual channels are disrupted, suppliers quickly migrate to other channels, keeping operations largely intact.
The speed and scale of these networks suggest deep connections to off-chain criminal organizations, including fraud operations and cybercrime rings. While recent sanctions and advisory have brought greater scrutiny, Chainalysis said the findings highlight how crypto-enabled money laundering has evolved into a robust, global service industry that is quickly adapting to enforcement pressures.
Read more: Crypto analytics firm Chainalysis says impersonation, AI crypto scams stole $17 billion last year
