Hundreds of millions of dollars in cryptocurrencies flowed through wallets linked to suspected human trafficking networks in 2025, according to a new report from Chainalysis, as criminal groups increasingly abandon traditional darknet platforms for encrypted messaging platforms like Telegram.
Crypto payments linked to trafficking-related activity have increased by 85 percent over the past year, the blockchain analytics firm said, describing it as a growing convergence between digital finance and organized exploitation networks.
While much of the operational infrastructure, including scam complexes and laundering centers, was concentrated in Southeast Asia, the money tells a different story. Payments were traced to customers in North and South America, Europe and Australia, highlighting the global demand sustaining the business.
From darknet to messaging apps
The researchers observed a clear migration away from older darknet marketplaces to semi-open Telegram channels, where services are advertised, recruitment is conducted, and payments are coordinated in real time.
On these channels, operators marketed cross-border escort packages, multi-day companionship services and job placements, promising lucrative overseas roles. Pricing tiers were often detailed, with some premium offerings exceeding $30,000.
The move of messaging apps with crypto payments has lowered the barriers to entry and increased scale. Wallet clusters analyzed by Chainalysis showed frequent high-value transfers, with nearly half above $10,000 in the escort category, suggesting professional networks rather than individual actors.
Chainalysis Intelligence analyst Tom McLouth said the mix of encrypted communications and digital assets has enabled trafficking groups to act like structured enterprises. The result, he said, is faster settlements, global reach and fewer traditional financial bottlenecks.
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Stablecoins and Laundering Pipelines
The report found that stablecoins have become a preferred payment method, offering speed and relative price stability. Once the funds are received, they are often sent through Chinese-language laundering networks operating primarily on Telegram.
These networks help launder illicit income through layers of cryptocurrency transactions. Chainalysis estimates that such laundering services alone were linked to approximately $16.1 billion of illicit crypto flows in 2025.
In many cases, recruitment channels for worker placement were directly linked to wallets linked to illegal gambling platforms and money laundering services, evidence of deep integration into criminal enterprises, the firm said.
scam compound and forced labor
Another important flow of payments was linked to labor recruiters advertising jobs in countries such as Cambodia and Myanmar. Potential workers were asked to pay between $1,000 and $10,000 in cryptocurrency for travel and placement.
Once on the site, victims were allegedly forced to run romance scams, fraudulent crypto investment schemes and other online frauds targeting individuals abroad.
The scale of these scams compounds further became visible after the United States Department of Justice last year announced the seizure of $15 billion in Bitcoin linked to a Cambodian operation accused of running large-scale romance scams.
Despite the enforcement actions, Chainalysis said the broader ecosystem has proven adaptive, changing infrastructure and communication channels when pressured.
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CSAM Network and Privacy Coins
The report also tracked cryptocurrency flows linked to sellers of child sexual abuse material (CSAM). Here, payment patterns differed as almost half of the transactions were less than $100, consistent with membership-style access in private chat groups.
Funds are often transferred from mainstream cryptocurrencies to privacy-focused assets like Monero, or through instant exchanges that require minimal identity verification, complicating investigative efforts.
One case cited in the report involves a major dark web CSAM platform that used more than 5,800 crypto addresses and generated more than $530,000 in revenue through mid-2022 before being identified with the help of Chainalysis following a UK law enforcement lead.
Visibility in a borderless system
Even as smuggling networks take advantage of the speed and accessibility of crypto, Chainalysis argues that blockchain transparency offers investigators an unprecedented window into financial flows.
The financial totals, at least hundreds of millions of dollars in 2025, represent only part of the picture, McLouth said, noting that the human costs behind transactions far outweigh any on-chain value.
As crypto adoption continues to expand globally, the firm expects illicit use to increase alongside legitimate activity. However, the shift toward a Telegram-based ecosystem marks a structural change, in which trafficking networks are no longer confined to hidden marketplaces, but rather operate in fluid, semi-public digital spaces where recruitment, advertising, and payment occur.
For authorities, that convergence presents both a challenge and an opportunity, a fast-moving, borderless threat captured in permanent, traceable code.
