Elliptic says Cross-chain laundering has milked about $21 billion

Cryptocurrency criminals have escalated their sophisticated tactics, with cross-chain money laundering operations draining approximately $21 billion from the digital asset ecosystem, according to leading blockchain analytics firm Elliptic's comprehensive 2025 report. The alarming findings reveal how crypto scammers are exploiting decentralized finance (DeFi) protocols and cross-chain bridges to obscure transaction trails across multiple blockchain networks.

Elliptic's research highlights the explosive growth of "pig butchering" schemes, a devastating form of romance fraud targeting cryptocurrency investors. These elaborate scams involve criminals building fake relationships with victims over weeks or months before manipulating them into transferring funds to fraudulent Bitcoin and altcoin investment platforms. The sophisticated operations have evolved into a multibillion-dollar criminal industry, leveraging blockchain technology's pseudonymous nature.

Cross-chain laundering techniques enable fraudsters to move stolen cryptocurrency assets between different blockchain networks, including Ethereum, Bitcoin, and various DeFi platforms, making fund recovery nearly impossible. This trend represents a significant threat to cryptocurrency market stability and investor confidence, prompting increased regulatory scrutiny and enhanced blockchain surveillance measures across the global digital asset landscape.