Andrew Fierman, Head of National Security Intelligence at Chainalysis, said the networks serve both organized crime groups and sanctioned state actors.
Criminology professor Mark Button of the University of Portsmouth stressed the scale of the operations:
“These are very large, well-resourced organizations. This is not like a few criminals operating out of a back room flat.”
Casinos and Crime FrontsButton added that many groups also launder funds through casinos, inflating revenue figures to disguise criminal proceeds. A 2024 UN report highlighted Southeast Asia’s growing role as a hub for both licensed and unlicensed casinos tied to organized crime.
Still, weaker laws and corruption in Southeast Asia allow Chinese groups to relocate and continue operations. Chainalysis estimated that CMLNs laundered about $44 million per day in 2025. Despite enforcement efforts, Fierman warned the networks remain highly adaptive:
“This is how illicit actors operate. They evolve, and once one gets detected, they hop to another avenue.”
FAQ What are CMLNs? Chinese-language money laundering networks (CMLNs) moved $16.1B in illicit crypto in 2025, nearly 20% of global crime volume. Where do they operate? Most activity runs through Telegram escrow channels, with hubs in Cambodia and Myanmar serving Southeast Asia scams. Who uses these networks? Chainalysis says organized crime groups and sanctioned state actors, including DPRK-linked hackers, rely on CMLNs. How do they launder funds? Criminals favor stablecoins like USDT/USDC and casinos in Southeast Asia to disguise proceeds and preserve value.
