39% of Illicit Crypto Transactions Linked to Sanctioned Countries

Countries under U.S. sanctions, like Iran, have seen a significant increase in illicit cryptocurrency activities, accounting for nearly $16 billion in digital assets last year. This represents about 39% of all illicit token transactions globally. The surge is largely due to these nations seeking alternative financial systems to bypass Western restrictions. Notably, Iran has been at the forefront, with its government maintaining control over the country’s crypto infrastructure. The use of cryptocurrencies in these jurisdictions serves as a financial lifeline for citizens facing economic challenges. Meanwhile, the crypto-mixing platform Tornado Cash, despite being targeted by U.S. authorities, still managed to process hundreds of millions in transactions monthly in 2024, with over 24% of its inflows linked to stolen funds. The U.S. Treasury’s Office of Foreign Assets Control issued 13 sanctions last year that included crypto addresses, a decrease from the previous year but still significant.

Source: www.coindesk.com