Damage from scam networks in Asia exceeds $114 billion: UN sounds alarm
By the end of 2025, the total damage from fraudulent operations in East and Southeast Asia, Australia, and New Zealand reached a staggering $88.3–114.1 billion. These figures are the result of an in-depth analysis conducted by experts from the United Nations Office on Drugs and Crime (UNODC). It is important to understand: this is an approximate estimate based on officially recorded losses and data extrapolation, taking into account victims who, for various reasons, do not contact law enforcement agencies.
For comparison, in 2023, the same indicator for these subregions was estimated at $18–37 billion. Thus, over two years, the volume of losses has roughly tripled. Among the leading countries in recorded losses for 2024–2025 are China ($5.1 billion), the Republic of Korea ($3.5 billion), and Taiwan ($2.8 billion).
A New Type of Criminal Economy
UNODC emphasizes that we are witnessing not just an increase in the number of frauds, but a fundamental restructuring of the regional criminal economy. Disparate syndicates have transformed into a cross-border network with a unified infrastructure for fraud, money laundering, human trafficking, and the illegal smuggling of migrants. This model, in the apt words of the UNODC regional representative, resembles corporate franchising: specialized "departments" for laundering, data collection, and other services are connected to a common service network.
A key element of this system has become the so-called scam centers—isolated complexes where people are detained and forced to work in online fraudulent schemes, including investment and romance scams. The scale and complexity of this criminal economy, according to leading UN analysts, "outpace existing countermeasures."
Cryptocurrencies as a Settlement Infrastructure
Special attention in the report is given to the role of cryptocurrencies. Criminal groups systematically use digital assets, encrypted communications, AI, and satellite communications. However, the central tool, according to UNODC, has become the stablecoin USDT on the TRON network. This combination has created a parallel financial system for nearly instant, cheap, and pseudonymous cross-border transfers.
Through P2P platforms, over-the-counter brokers, and underground banking networks, criminals convert fiat into stablecoins and back, effectively bypassing banking controls. UNODC calls for training law enforcement in tracking and confiscating crypto assets, emphasizing that simply disrupting operations is insufficient if the income of criminal networks remains out of reach.
Technology at the Service of Scammers
The active use of generative AI, deepfakes, and satellite internet (including Starlink) allows scam networks to scale attacks and operate in remote areas. Generative AI lowers the technical barrier: small groups can now use AI translation, voice cloning, and real-time deepfake video. Additionally, a 42% year-over-year increase in the use of legitimate advertising networks to distribute malware has been recorded.
Global Expansion of Recruitment
People from at least 80 countries have been identified in the region's scam compounds. Recruitment networks are expanding their search geography beyond Asia, requiring knowledge of German, Polish, Spanish, French, and other European languages. While such advertisements are not always confirmed cases of human trafficking, they clearly indicate the risk of new workers being drawn into forced criminal activity.
Expert Commentary: The scale of the problem requires not just strengthening law enforcement measures, but also global coordination at the level of financial regulators. As long as USDT on the TRON network remains a "gray area" for most jurisdictions, we will observe further escalation of these criminal schemes. Investors should remember: high returns in cryptocurrencies, especially in the context of "investment" offers from Southeast Asia, are almost certainly a red flag.