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Stablecoin transaction volume hit $35 trillion in 2025, with the portion linked to illicit activities remaining under 0.5%.
Despite networks linked to sanctions facilitating $141 billion in illicit stablecoin transactions last year, data from TRM indicates that this activity constitutes only a small portion of the overall transaction volume.
According to a recent analysis by blockchain analytics firm TRM Labs, less than 0.5% of stablecoin transactions in 2025 were associated with illicit activities. (satheeshsankaran/Pixabay, modified by CoinDesk)
Key details:
- In 2025, fewer than 0.5% of stablecoin transactions were linked to illegal activities, even as the total volume of stablecoin transfers increased by almost 20% to at least $35 trillion.
- Criminal entities received $141 billion in stablecoins that year, with over half connected to the ruble-pegged A7A5 token, whose representatives contest assertions that their operations are unlawful.
- Stablecoins constituted 86% of all illicit crypto transactions in 2025, with sanctions-related networks like the A7 ecosystem evolving into significant, centralized cross-border financial systems.
According to TRM Labs, less than 0.5% of stablecoin transactions were associated with illicit activities in 2025.
Illicit flows represented approximately 0.4% of overall activity, highlighting that stablecoin use remains predominantly legitimate, as indicated by TRM Labs’ analysis.
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TRM noted that 2025 marked the first year in which stablecoin activity surpassed $1 trillion in monthly transaction volume multiple times, demonstrating sustained throughput rather than transient speculative spikes.
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In 2024, stablecoin transaction volume experienced remarkable growth, with total on-chain transfer volume exceeding $27.5 trillion, and in 2025, it rose by nearly 20% to at least $35 trillion.
Illicit activity mirrored a similar pattern of concentration and scale. In 2025, illicit entities received $141 billion in stablecoins, the highest amount recorded in five years, of which $72 billion was associated with the A7A5 token, a ruble-pegged stablecoin operating within networks linked to sanctions.
Oleg Ogienko, A7A5’s director for Regulatory and Overseas Affairs, informed CoinDesk that “TRM Labs attempts to label all Russian external trade as illicit or illegal. However, this is clearly an incorrect assertion.”
In additional remarks during an interview at Consensus Hong Kong 2026, Ogienko expressed his willingness to debate anyone who claims he has violated compliance laws through his stablecoin business.
“We fully adhere to the regulations of Kyrgyzstan. We do not engage in illegal activities,” he stated. “We have KYC procedures in place, and we implement AML mechanisms within our infrastructure. We do not breach any Financial Action Task Force principles.”
Nonetheless, Old Vector LLC and A7 LLC, the entities issuing A7A5, along with Promsvyazbank (PSB), the bank managing the reserves, are under sanctions from the U.S. Department of the Treasury, preventing the U.S. dollar-denominated financial sector from engaging with them.
TRM Labs’ report indicated that stablecoins accounted for 86% of all illicit crypto transactions in 2025, emphasizing their significant role within high-risk ecosystems. Sanctions-related networks saw dramatic consolidation in 2025, with the A7 ecosystem alone linked to at least $83 billion in direct volume. These networks increasingly resemble parallel cross-border financial systems rather than isolated entities.
In contrast, 2024 represented a phase of scaling. Laundering infrastructure, such as guarantee services, expanded swiftly from 2022 through mid-2025, peaking at over $17 billion per quarter, with approximately 99% of the volume denominated in stablecoins. However, the institutionalization and centralization observed in 2025, especially through A7 and front-company exchanges, had not yet achieved the same magnitude.
