Blockchain analytics firm TRM Labs has released a report revealing that illicit entities received approximately $141 billion in stablecoins during 2025, marking the highest level observed in the last five years. Despite this record figure, the illicit share of total stablecoin transaction volume remained below 0.5%, underscoring that the vast majority of stablecoin usage is legitimate.
The report highlights that stablecoins accounted for 86% of all illicit cryptocurrency flows in 2025, demonstrating their dominant role within high-risk ecosystems. Sanctions evasion constituted the overwhelming majority of this illicit use. A significant portion, roughly $72 billion, was linked specifically to the Russian ruble-pegged stablecoin A7A5, whose activity is "almost entirely concentrated within sanctions-linked ecosystems."
TRM Labs noted that Russian-linked networks, such as the A7 ecosystem, intersected with other state-linked ecosystems from China, Iran, North Korea, and Venezuela, illustrating how stablecoins have become "a connective infrastructure for sanctioned actors seeking to move value outside traditional financial controls." The A7 ecosystem alone was tied to at least $83 billion in direct volume.
In a defiant response, Oleg Ogienko, A7A5's director for Regulatory and Overseas Affairs, contested TRM Labs' characterization, stating the firm tries to "call all Russian external trade illicit or illegal." Ogienko claimed full compliance with Kyrgyzstan's regulations and embedded KYC and AML mechanisms, despite the U.S. Treasury sanctioning the token's issuing entities and its reserve bank, Promsvyazbank (PSB).
Contrasting with sanctions-related activity, other crimes like scams, ransomware, and hacking showed more selective use of stablecoins, often preferring Bitcoin (BTC) or other assets initially. However, markets for illicit goods, services, and human trafficking exhibited "near-total stablecoin usage," prioritizing payment certainty. Furthermore, laundering infrastructure like guarantee marketplaces (e.g., Huione) saw volume surge to over $17 billion per quarter, with roughly 99% denominated in stablecoins.
On the broader adoption front, 2025 was a landmark year. Total stablecoin on-chain transfer volume reached at least $35 trillion, a nearly 20% increase from 2024's $27.5 trillion. It was also the first year where monthly transaction volume exceeded $1 trillion multiple times, indicating sustained, institutional-scale throughput rather than speculative spikes.
