Crypto Crime Hit Record Dollars. The Percentage Story Is Harder.
Sanctuary Research
The headline is big because the market is big
TRM Labs identified a record $15.8 billion in illicit crypto flows in 2025. Chainalysis reported that illicit addresses received at least $51 billion, with estimates rising as attribution improves. Different methods, different totals, same direction: the dollar number went up.
That should not be read as "crypto is mostly crime." It should be read as "crypto is large enough that small percentages become large dollar figures." Compliance teams have to live in that tension.
Why the percentage debate is not enough
The share of illicit activity can look small next to total transaction volume. A bank, issuer, desk, or exchange still has to handle the specific wallet in front of it. A 0.1% market-wide rate does not help when the address on your deposit page is tied to ransomware or sanctions.
Risk is not averaged across the market. It arrives as one transfer, one counterparty, one release decision.
The 2026 mistake
The mistake is treating published crime reports as PR ammunition instead of operating data. The point is not to argue whether crypto looks good or bad. The point is to map which categories are growing: sanctions evasion, stolen funds, scam infrastructure, laundering services, and high-speed stablecoin movement.
Those categories become screening rules, escalation triggers, and watchlist priorities. Anything else is theatre.
