Illicit Crypto Addresses Received $154B in 2025 Linked to Global Sanctions
According to a , illicit cryptocurrency activity reached a record high in 2025, with illegal on-chain addresses receiving at least $154 billion over the year. That figure reflects a 162% year-over-year increase from 2024 and is largely driven by sanctioned entities and state-linked actors moving funds through blockchain networks to evade financial restrictions.
While transactions still represent a relatively small fraction of total blockchain transaction volume, below 1% of all on-chain activity, the scale of value received in 2025 shows how digital assets are being used to circumvent sanctions, launder money, and channel economic activity outside regulated financial systems.
Record Illicit Flows Fueled by Sanctions Evasion and State-Linked Activity
The rise in illicit receipts of crypto funds in 2025 is tied in large part to geopolitical pressures and sanctions regimes imposed by governments worldwide. Chainalysis highlighted an “unprecedented volume associated with nation-state activity,” noting that sanctioned actors used cryptocurrencies to move funds on-chain at a massive scale during the year.
One of the most significant contributors was , launched in February 2025. In less than a year, the token processed over $93.3 billion in transactions, according to the report, despite international sanctions aimed at restricting financial access for Moscow following geopolitical conflict.
North Korean cybercriminal groups, including the and other state-linked hacking operations, also played a notable role. DPRK-affiliated actors were involved in major breaches throughout 2025, with reported thefts of nahead $2 billion in cryptocurrency. These stolen funds and associated laundering activity flowed through crypto networks, contributing to the illicit crypto total.
In addition, Iranian proxy networks and sanctioned entities used crypto to support activities such as illegal oil sales, weapons procurement, and other covert financing. Although smaller in absolute value compared with Russia’s figures, these activities further illustrate how blockchain systems can be exploited for sanctions avoidance.
Stablecoins Dominated Illicit Crypto Activities in 2025
Stablecoins were the dominant asset type in these illicit crypto transactions, accounting for approximately 84% of the total value received by illegal addresses. Their stable pricing, broad liquidity, and relatively quick transfer times make them attractive for cross-border movements and evasion efforts, even as regulators and analytics firms attempt to track and flag suspicious activity.
Still, reports state that firms and law enforcement agencies are increasingly using advanced tracking tools, clustering analyses, and cooperative enforcement to identify and freeze illicit crypto transactions.
However, the sharp increase in value highlights how sophisticated illicit networks have become in merging organized crime, state-linked evasions, and complex laundering infrastructure to move value in ways that challenge enforcement.
As more on-chain data and historical patterns are incorporated into analytics models, Chainalysis suggests that the estimate of illicit crypto receipts may continue to rise as additional addresses and networks are identified.
