Chainalysis has identified an astounding $75 billion in criminal cryptocurrency languishing in public wallets. This discovery uncovers a significant digital cache that could theoretically be seized by international law enforcement agencies.
Summary
- Chainalysis reports that $75 billion in illicit crypto is held in public wallets, largely associated with stolen funds and darknet trading.
- Bitcoin comprises 75% of the total criminal balances, as hackers increasingly view it as a store of value.
- Transfers to exchanges have decreased to 15%, indicating a trend towards using mixers and cross-chain bridges to avoid detection.
In a report published on October 9, blockchain analytics firm Chainalysis presented a groundbreaking examination of static on-chain balances, showing that illicit groups and their networks collectively command over $75 billion in cryptocurrency.
The analysis differentiates between wallets directly linked to crime, which contain nearly $15 billion, and the extensive network of downstream wallets that have received large sums of illicit money, holding the remaining $60 billion.
Criminal balances rise as Bitcoin maintains its dominance in illicit finance
The report highlights that the aggregate balance of Bitcoin, Ethereum, and stablecoins held directly by illicit parties has surged by 359% since 2020, approaching nearly $15 billion as of July 2025. Stolen assets dominate this arena, constituting the largest single category.
Chainalysis points out that while scammers and darknet marketplaces move funds rapidly, hackers often encounter operational hurdles in laundering large amounts, compelling them to retain assets on-chain longer. Recent high-profile hacks, such as the $1.5 billion Bybit theft linked to North Korea, exemplify the challenges in discreetly off-ramping significant sums.
The analysis also highlights an expansive downstream network of wallets linked to illicit actors, collectively possessing over $60 billion in cryptocurrency—about four times the value held in primary illicit wallets.
Darknet market operators and vendors alone command a staggering $46.2 billion, underscoring the enduring, profitable nature of these marketplaces that have persisted since the Silk Road period. According to Chainalysis, this total could be even higher, as money laundering platforms acting as intermediaries can obscure the complete financial trail.
Criminals favor holding Bitcoin
Bitcoin continues to be the preferred asset among criminals, accounting for 75% of all illicit entity balances. This dominance is primarily due to its substantial price increase over time, which has dramatically inflated the value of holdings in older wallets.
Criminals also seem to regard Bitcoin as a long-term store of value; the report shows that over a third of illicit BTC wallets maintain balances a year after their last transaction. In contrast, the distribution of stablecoins is less concentrated across wallets, likely since criminals are aware they can be frozen by centralized issuers, prompting them to diversify their risk.
The Chainalysis report further emphasizes a notable transition in how criminals are liquidating their assets, with direct transfers from illicit entities to centralized exchanges plummeting from over 40% to about 15%. This signifies a substantial move towards employing mixers and cross-chain bridges for obfuscation.
For law enforcement, these behavioral shifts complicate the timing and execution of asset recovery operations. However, the transparency of the blockchain still offers a unique advantage. Chainalysis noted that its data has already assisted authorities in seizing more than $12.6 billion in illicit funds globally.
