A Chinese-language crypto guarantee marketplace, notoriously known as Xinbi, has remarkably processed nearly $18 billion in onchain transaction volume, demonstrating a profound resilience despite facing significant platform bans and concerted United States enforcement actions specifically aimed at dismantling such illicit services, according to a compelling new report released by blockchain intelligence firm TRM Labs. This staggering figure underscores the persistent challenge posed by sophisticated criminal enterprises operating within the cryptocurrency ecosystem, which continually adapt and evolve their methods to evade detection and maintain operational continuity even under intense pressure from global law enforcement agencies. The report paints a stark picture of a thriving underground economy that has not only survived but flourished by deftly navigating regulatory crackdowns and leveraging the inherent decentralization of digital assets.

The comprehensive analysis by TRM Labs revealed that recent crackdowns, while undeniably impactful in reshaping the landscape of illicit crypto activities, ultimately failed to dismantle a key and integral layer within the sophisticated crypto-enabled money laundering infrastructure. Instead, these enforcement efforts appear to have inadvertently catalyzed an evolution, forcing services like Xinbi to innovate and become more robust. TRM’s meticulous on-chain analysis specifically showed that Xinbi sustained significant on-chain activity even after the popular messaging application Telegram initiated a widespread purge in 2025, banning numerous clusters of Chinese-language guarantee services. This purge was initially seen as a major victory against crypto crime, yet Xinbi’s subsequent activity demonstrates the limitations of such platform-specific interventions when dealing with highly adaptive and resourceful criminal networks. The $17.9 billion figure, a testament to Xinbi’s sheer operational scale, reflects the gross onchain transaction volume processed by a network of wallets meticulously attributed to Xinbi by TRM Labs. This encompasses a complex web of inflows, outflows, and internal transfers occurring within the platform’s intricate escrow and wallet system, showcasing the extensive movement of funds orchestrated by the service.

It is crucial to understand that while the $17.9 billion figure is immense, TRM Labs clarifies that it does not represent the net proceeds or confirmed illicit gains. Instead, it serves as a powerful indicator of the sheer volume of economic activity facilitated by Xinbi. The firm noted that this figure may include a significant amount of internal recycling of funds, a common practice within guarantee services designed to obscure the true origin and destination of assets, inflate perceived liquidity, and complicate forensic analysis. Such practices are integral to how these services operate, creating layers of obfuscation that make it incredibly challenging for authorities to trace illicit funds definitively. This constant churning of funds within their ecosystem helps to maintain a facade of legitimate activity while simultaneously processing laundered proceeds for various criminal enterprises.

TRM Labs’ report attributes Xinbi’s remarkable resilience primarily to two key strategic adaptations: a rapid and effective migration to alternative messaging services following the Telegram ban, and the subsequent launch of its own affiliated wallet service, aptly named XinbiPay. Onchain data provides clear evidence of this successful transition, showing a significant rebound in wallet activity as early as January 2026, coinciding directly with users transitioning seamlessly to the new, more insulated setup. This move effectively allowed Xinbi to create its own self-contained ecosystem, reducing its reliance on third-party platforms that could be targeted by law enforcement. The creation of XinbiPay not only provided a dedicated platform for its users but also allowed Xinbi to exert greater control over the transaction process, potentially enhancing anonymity and security for its illicit clientele.

The analytics firm explicitly stated that Xinbi has played a central and indispensable role in the complex process of laundering proceeds for a wide array of sophisticated scam operations and notorious cybercrime syndicates. Among these, the particularly insidious "pig-butchering fraud" schemes stand out. Pig-butchering, or "Sha Zhu Pan," is a deeply manipulative and long-term scam where criminals cultivate romantic or friendly relationships with victims online, eventually convincing them to invest in fraudulent cryptocurrency schemes. Once significant funds are invested, the scammers vanish, leaving victims financially devastated. Xinbi, by providing a "guarantee" or escrow service, facilitates the initial transactions, lending a false sense of security and legitimacy to these illicit investments. Beyond these romantic scams, Xinbi’s services are also instrumental for broader cybercrime syndicates, including those involved in ransomware attacks, phishing campaigns, and darknet market operations, providing a critical financial conduit for converting stolen assets into usable funds.

In a statement provided to Cointelegraph, Ari Redbord, the global head of policy at TRM Labs, emphasized the evolving nature of these illicit services. "Guarantee services like Xinbi are learning to survive enforcement by fragmenting across platforms and building their own infrastructure," Redbord observed. This fragmentation means that instead of a single, easily identifiable entity, these services operate as a decentralized network of interconnected components, making them harder to target comprehensively. Redbord further elaborated on their critical position within the criminal underworld: "These services sit at the center of the scam economy," he stated, highlighting their pivotal role in connecting various illicit activities. He stressed that effectively disrupting these services could have a cascading effect, explaining that "taking them out of the laundering chain exposes entire networks that depend on them." This strategic importance makes them high-value targets for law enforcement, as their dismantling could significantly cripple multiple criminal operations.

TRM Labs’ investigation revealed that Xinbi had proactively started promoting alternative communication channels for coordination as early as mid-2025. This forward-thinking strategy effectively laid the groundwork for a smooth and rapid migration of its user base as enforcement pressure intensified, demonstrating a calculated and adaptive approach to regulatory challenges. The analytics firm noted that the transition to these new platforms and the full operationalization of XinbiPay significantly accelerated in January, a period that coincided with additional enforcement actions being taken against peer services and a wave of arrests directly tied to various money laundering networks. This suggests that Xinbi not only anticipated but also responded swiftly to the escalating threat landscape, reinforcing its ability to circumvent conventional enforcement tactics. The continued flow of funds into and out of Xinbi-affiliated wallets, particularly the newly established XinbiPay Wallet service, as evidenced by its hot wallet inflow and outflow since December 24, 2025, vividly illustrates this successful adaptation and sustained activity.

This is not the first time Xinbi has drawn significant scrutiny from blockchain analytics firms. Since 2025, the service has been under a watchful eye. In May of that year, blockchain analytics firm Elliptic reported that wallets directly linked to Xinbi Guarantee had already received at least $8.4 billion in stablecoins. This earlier investigation conclusively tied these substantial flows of digital assets to extensive money laundering operations and various scam-related activities predominantly originating from Southeast Asia. The consistent flow of funds and the repeated flagging by multiple reputable analytics firms underscore Xinbi’s persistent and significant role in the global illicit finance landscape.

The earlier Elliptic report also provided crucial context, linking Xinbi to a broader, shadowy Chinese-language, Telegram-based marketplace. This marketplace was described as a comprehensive hub for criminal services, actively selling money laundering services, purveying stolen data, offering scam-enabling tools, and facilitating a host of other illicit offers. This paints a picture of Xinbi not as an isolated entity, but as a critical component within a larger, interconnected ecosystem of cybercrime and financial fraud. The ability of such platforms to operate with impunity, continuously adapting to bans and enforcement actions, highlights the inherent challenges in policing the decentralized and global nature of cryptocurrency. The quarterly incoming crypto volumes for major Chinese-language guarantee services, as tracked by TRM Labs, further demonstrate the fluctuating but persistent nature of this illicit sector, indicating a constant cat-and-mouse game between criminals and law enforcement. The ongoing battle against crypto crime is further exemplified by broader statistics, such as the report by CertiK, which indicated that crypto thieves and scammers plundered an astonishing $370 million in January alone, quadrupling the amount stolen year-on-year. This contextualizes Xinbi’s activities within a wider, escalating trend of digital asset theft and fraud.

In conclusion, the TRM Labs report on Xinbi serves as a stark reminder of the persistent and evolving threat posed by illicit cryptocurrency services. Despite targeted bans and enforcement actions, entities like Xinbi demonstrate an alarming capacity for adaptation, leveraging alternative platforms and developing proprietary infrastructure like XinbiPay to maintain and even expand their operations. The nearly $18 billion in processed transactions underscores the massive scale of funds moving through these illicit channels, fueling global cybercrime and scam syndicates. The ongoing battle against these sophisticated networks requires a multi-faceted approach, combining advanced blockchain analytics, international cooperation, and continuous innovation in enforcement strategies to effectively disrupt their operations and safeguard the integrity of the broader financial ecosystem.