Messaging Giant Bans Major Fraud Marketplaces
Telegram has shut down two massive underground marketplaces—Huione Guarantee (also known as Haowang Guarantee) and Xinbi Guarantee—after investigations revealed they processed over $35 billion in USDT transactions for cybercriminals.
These platforms operated as escrow services for fraudsters, including pig-butchering scam syndicates, facilitating money laundering and illegal trades. The crackdown followed pressure from U.S. regulators and blockchain intelligence firms like TRM Labs and Elliptic.
Scammers Quickly Adapt, Migrate to New Platforms
Despite Telegram’s ban, illicit activity is shifting rather than declining:
- Huione’s trading volume dropped 50%, but its affiliate Tudou Guarantee saw a 70x surge in daily inflows.
- Xinbi Guarantee rebounded with a 90% volume spike despite being banned.
- New underground channels are emerging, indicating a strategic migration rather than a full shutdown.
U.S. Authorities Escalate Enforcement
The U.S. has sanctioned Huione Group as a money-laundering threat, freezing affiliated wallets and targeting vendors. However, the decentralized nature of these operations makes them hard to fully dismantle.
Why the Crackdown Isn’t Enough
- Resilient Ecosystem – Fraud networks quickly relocate to new Telegram channels or alternative platforms.
- Demand Persists – Scammers continue seeking crypto-based laundering due to its pseudonymous nature.
- Global Enforcement Gaps – Without coordinated international action, illicit actors exploit jurisdictional weaknesses.
What’s Next?
- More regulatory pressure on Telegram to monitor and remove illicit channels.
- Increased blockchain surveillance to track migrating scam operations.
- Potential stablecoin restrictions if USDT remains the preferred currency for fraud.
Key Takeaway: While Telegram’s ban disrupted major scam hubs, the underground crypto fraud economy is adapting rapidly. Without global coordination, illicit actors will keep finding new ways to operate.
Disclaimer
This content is for informational purposes only and does not constitute financial, investment, or legal advice. Cryptocurrency trading involves risk and may result in financial loss.