The UN has revealed the scale of crypto scams: $114 billion in damages and a new criminal economy
The scale of organized fraud in East and Southeast Asia, Australia, and New Zealand has reached astronomical levels. Based on my analysis of global data, losses from scam operations in 2025 are estimated between $88.3 billion and $114.1 billion. These are not just numbers—they are evidence of the formation of a new, highly organized criminal economy.
The calculation methodology accounts for both officially recorded losses and the estimated share of victims who do not report to authorities. For comparison, in 2023, the same indicator was estimated at $18–37 billion. Thus, over two years, growth has been approximately threefold. China ($5.1 billion), the Republic of Korea ($3.5 billion), and Taiwan ($2.8 billion) lead in recorded losses for 2024–2025.
The Criminal Economy as Corporate Franchising
A radical restructuring of the regional criminal economy has occurred. Disparate syndicates have transformed into a cross-border network with shared infrastructure, encompassing fraud, money laundering, human trafficking, and illegal migrant smuggling. This model resembles corporate franchising: specialized departments for money laundering, human trafficking, and data collection are connected to a unified service network. The scale and complexity of this criminal economy already outpace existing countermeasures.
Cryptocurrencies as Settlement Infrastructure
A key role in this system is played by cryptocurrencies, especially USDT on the TRON network. This combination has created a parallel financial system for near-instant, cheap, and pseudonymous cross-border transfers. Through P2P platforms and underground banking networks, criminal groups convert fiat into stablecoins and back, bypassing banking controls. I have repeatedly emphasized that without effective tracking and confiscation of crypto assets, combating this phenomenon is futile.
AI and Satellite Communications at the Service of Fraudsters
Criminal groups are actively adopting generative AI, deepfakes, and encrypted messengers. Generative AI lowers the technical barrier for complex schemes: small groups use AI translation, character generation, voice cloning, and real-time deepfake video. The use of legitimate advertising networks to distribute malware has grown by 42% year-over-year in 2025. Satellite internet, including Starlink, allows attackers to operate in remote areas without relying on local providers.
Global Recruitment and Network Resilience
Individuals from 80 countries have been identified in scam compounds in the region. Recruitment networks are expanding geographically, requiring knowledge of German, Polish, Spanish, and other languages. Pressure on individual sites does not destroy the infrastructure—networks change jurisdictions and recover through new nodes.
My expert assessment: These data confirm that cryptocurrencies have become not just a tool but a foundation of the new shadow economy. Regulators urgently need to reconsider approaches to monitoring stablecoins and P2P platforms; otherwise, the scale of losses will only grow.