Crypto transactions for sanctions purposes made up one-third of unlawful activities since these activities grew rapidly to $10.6 trillion according to a TRM Labs report published on February 18.
The percentage of unlawful crypto operations fell 24% last year to $45 billion and represented 0.4 percent of digital transactions versus 0.9 percent over 2023. Overall transaction amounts climbed 56 percent to $10.6 trillion. The recorded illegal crypto transactions consisted mainly of transactions through blocked funds (29%) and fraudulent scams (24%).
The TRM Labs team projects future growth from this data because they are examining more transactions. TRM Labs updated its initial 2023 estimate to $58.7 billion by raising the figure 69% since first publication. In 2022 our team found extra transactions which raised our initial forecast of $49.6 billion to $56.6 billion.
TRON Leads Illicit Transactions
In January Chainalysis data indicated that cryptocurrencies engaged in unlawful transactions throughout all year totaled $40.8 billion. Chainalysis expects these amounts to increase by 10 billion dollars more when hidden suspect addresses are found.
TRON dominates illegal blockchain transactions in 2024 with 58% of all activity even though Ethereum hosts 24% and Bitcoin holds 12%. TRM Labs data confirms this status. Despite TRON’s top position in handling illegal cryptocurrencies it lost more than $6 billion in illegal transactions while other networks maintained steady activity.
Countries worldwide step up their fight against illegal crypto operations and Spain leads a significant arrests. Through joint efforts between Spanish law enforcement and T3 FCU authorities blocked $26 million of cryptocurrency traded by a European money laundering network.
The T3 FCU joined forces between TRON Tether TRM Labs and Spain’s Guardia Civil to track down crypto accounts connected to illegal activities. Officials discovered that the criminal group chose to launder money by converting physical money to digital currency for their illegal activities.
The gallery seized its largest collection of criminal assets since its start in 2024. The unit has supported police across global regions to seize more than $126 million in criminal digital money since it began operation. CEO Paolo Ardoino from Tether believes blockchain demonstrates its effectiveness in fighting financial crimes and promises to pursue abusers.
