For years, illegal online marketplaces were closely linked to the dark web. These platforms relied on privacy-focused browsers and early cryptocurrencies to sell drugs, weapons, stolen data, and hacking tools while remaining hidden from authorities. At the time, their technical complexity made them difficult to track and dismantle.
That model has now changed drastically. In 2025, some of the largest illegal crypto markets in history are operating openly on Telegram, a mainstream messaging application. According to blockchain intelligence researchers, these platforms no longer depend on sophisticated anonymity tools. Instead, they rely on encrypted chats, repeated channel relaunches after bans, and communication primarily in Chinese.
Analysis shows that Chinese-language scam-focused marketplaces on Telegram have reached an unprecedented scale. While enforcement actions earlier this year temporarily disrupted a few major platforms, activity quickly recovered through successor markets. Two of the largest currently active groups are collectively processing close to two billion dollars in cryptocurrency transactions every month.
These marketplaces function as service hubs for organized scam networks. They provide money-laundering services, sell stolen personal and financial data, host fake investment websites, and offer digital tools designed to assist fraud, including automated impersonation technologies. Researchers have also flagged listings that suggest serious human exploitation, adding to concerns about the broader harm linked to these platforms.
Their rapid growth is closely connected to large-scale crypto investment and romance scams. In these schemes, victims are gradually manipulated into transferring increasing amounts of money to fraudulent platforms. Law enforcement estimates indicate that such scams generate billions of dollars annually, making them the most financially damaging form of cybercrime. Many of these operations are reportedly run from facilities in parts of Southeast Asia where trafficked individuals are forced to carry out fraud under coercive conditions.
Compared with earlier dark web marketplaces, the difference in scale is striking. Previous platforms processed a few billion dollars over several years. By contrast, one major Telegram-based marketplace alone handled tens of billions of dollars in transactions between 2021 and 2025, making it the largest illicit online market ever documented.
Telegram has taken limited enforcement action, removing some large channels following regulatory scrutiny. However, replacement markets have repeatedly emerged, often absorbing users and transaction volumes from banned groups. Public statements from the platform indicate resistance to broad bans, citing privacy concerns and financial freedom for users.
Cryptocurrency infrastructure also plays a critical role in sustaining these markets. Most transactions rely on stablecoins, which allow fast transfers without exposure to price volatility. Analysts note that Tether is the primary stablecoin used across these platforms. Unlike decentralized cryptocurrencies, Tether is issued by a centralized company with the technical ability to freeze funds linked to criminal activity. Despite this capability, researchers observe that large volumes of illicit transactions continue to flow through these markets with limited disruption. Requests for comment sent to Tether regarding its role in these transactions did not receive a response at the time of publication.
Cybercrime experts warn that weak enforcement, fragmented regulation, and inconsistent platform accountability have created conditions where large-scale fraud operates openly. Without coordinated intervention, these markets are expected to continue expanding, increasing risks to users and the global digital economy.
