How Illicit Crypto Use Is Quietly Declining
When I look at the latest data from Chainalysis and TRM Labs, one thing becomes obvious:
THE NARRATIVE AROUND CRYPTO CRIME IS OUTDATED
The industry has been improving far faster than most people realize and the numbers prove it.
▸ Illicit activity on major centralized exchanges has dropped sharply from early 2023 to mid-2025.
▸ As of June 2025, exposure to illicit wallets across the top exchanges is down to only 0.018%–0.023% of all volume.
▸
@binance consistently performs below that range, despite processing volumes equal to the next six exchanges combined.
▸ Chainalysis shows Binance at 0.007% illicit exposure in June 2025.
▸ TRM Labs shows 0.016%, compared to 0.023% for other leading exchanges.
▸ Since January 2023, Binance has reduced illicit exposure by 96%–98%, ahead of the industry by several percentage points.
FOR ME - THE TAKEAWAY IS SIMPLE 👇
Thestronger systems, transparent ledgers, and maturing compliance practices are reshaping the space.
This decline in illicit activity strengthens trust, boosts user protection and moves crypto closer to full global integration.