After three consecutive years of decline, illicit crypto activity rebounded sharply in 2025. Covered in the newly released 2026 Crypto Crime Report, TRM’s analysis identified USD 158 billion in incoming value to illicit entities — an all-time high — driven by a mix of sanctions designations, nation-state adoption of crypto rails, and improved attribution that surfaced previously unattributed activity.

What changed in 2025 (and why it matters)

Even as absolute illicit volume rose, illicit activity as a share of total attributed on-chain volume fell from 1.3% (2024) to 1.2% (2025), reinforcing a key reality: crypto is bigger and more integrated than ever, and illicit activity remains a minority of total activity.

But “percent of…