In 2025, illicit entities received $141 billion in stablecoins, the highest level in five years, as per the TRM Labs report. The stablecoin shift from speculative crypto assets to major financial infrastructure triggered a rise in stablecoin-related criminal activity.
Record adoption meets illicit risk
The TRM Labs report reveals a dual side for stablecoins in 2025. On one hand, stablecoins with total annual volumes of around $35 trillion prove that they are now a primary tool for legitimate payments and settlements.
In contrast, this scale has also created a platform for criminals. In 2025, illicit stablecoin flows reached a five-year high of $141 billion. Although the amount is the highest level recorded so far, it still makes up only 0.4% of total market activity.
The stablecoin industry leaders, Tether and Circle, delivered a strong financial performance in 2025. Tether led the way with over $10 billion in net profit, the interest earned on its massive $141 billion of U.S. government debt.
Even as the rest of the crypto market hit a bit of a slump, Tether finished the year on a high note, with its total market value reaching an all-time peak of $187.3 billion.
Circle saw circulation of its USDC stablecoin climb to $75 billion. These earnings prove stablecoins have matured into a profitable global utility, powering trillions in legitimate trade while keeping criminal risks isolated to a tiny fraction of the total picture.
Sanctions-related activity accounted for 86% of all illicit crypto flows in 2025, with half of that volume linked to the ruble-pegged A7A5 token. This specific network allows sanctioned entities in Russia, Iran, and North Korea to bypass traditional banking blocks with ease.
The Rise of laundering networks
The report warns that professional facilitators, like fake front companies and underground escrow services, are now the biggest risk in the crypto space. In 2025, these groups saw their operations surge, laundering more than $17 billion in just one quarter.
Because stablecoins are fast, cheap to move, and don’t bounce around in value like Bitcoin, they have become the top choice for criminal operations.
While crimes like human trafficking and illegal trade rely almost entirely on stablecoins, hackers and ransomware groups still tend to use Bitcoin first, only switching to stablecoins at the very end to “lock in” their stolen funds.
