Telegram Nukes $35B Money-Laundering Scam Networks in Crypto Crackdown

Telegram just dropped the hammer on shadowy networks exploiting its platform—tied to a jaw-dropping $35 billion laundering operation. Here's how the messaging giant is cleaning house.

The takedown:
No more 'secure chats' for fraudsters. Telegram's purge targeted sprawling scam rings using crypto to wash dirty money—proving even encrypted apps can't outrun regulators forever.

Why it matters:
While blockchain purists scream 'censorship,' this move exposes crypto's open secret: bad actors love its pseudo-anonymity. (Bankers, meanwhile, are still laundering 100x more via traditional channels—but let's not ruin their narrative.)

The bottom line:
When a $35B operation gets axed, it's either a win for compliance... or a sign the criminals have already moved to greener pastures. Place your bets.

Scammers Quickly Resurface on New Platforms

Despite the ban, scam-related activity did not stop. Instead, it shifted to smaller or affiliated platforms. One such example is Tudou Guarantee, which TRM Labs identified as being linked to Huione. After the ban, Tudou’s daily transaction volume surged 70x, reaching activity levels close to Huione’s peak.

Even the banned Xinbi Guarantee resurfaced under the same name, with a 90% spike in daily crypto flow.

Elliptic, another blockchain analytics firm, reported that over 30 new platforms began offering similar laundering services—disguised as escrow or fake banking systems designed to obscure funds and evade enforcement.

“These groups are not gone; they’ve just moved,” TRM stated in its July update, highlighting how adaptable scam networks have become.

U.S. Cracks Down on Huione, But Its Network Still Survives

Meanwhile, the U.S government also stepped in. After the FinCEN labeled the Huione Group , the Treasury’s Office of Foreign Assets Control (OFAC) announced new sanctions. In late May, OFAC blacklisted Funnull Technology and two crypto wallets tied to Huione Group. They said the wallets were used in pig-butchering scams that stole over $200 million from victims. 

Despite all of this, parts of the Huione network are still active. Huione Pay, which is a payment service based in Cambodia, continues to operate. The group also runs a crypto exchange and created its own coin, USDH, to avoid blocks on other coins like USDT.

Also Read: Telegram Adds Built-In TON Crypto Wallet for US Users