According to Binance Research, these funds have increased annually since 2016 and are projected to grow by 28% year-on-year in 2025.
Binance analysts stated that the tainted funds were detected during the Know Your Transaction (KYT) phase, but their conversion to cash was blocked during the Know Your Customer (KYC) phase. According to the analysts, although more than 80% of these funds were distributed across different wallet addresses to obscure their origin, the blockchain’s record-keeping feature allows these assets to be tracked step by step.
The report also stated that stablecoin issuers can freeze funds and that law enforcement can seize them directly.
Binance Research recently added that even the largest mixers, which are tools designed to anonymize transactions, have a daily transaction capacity of approximately $10 million, meaning that laundering $1 billion would take more than 100 days.
*This is not investment advice.