Telegram’s Role in Shutting Down Darknet Marketplaces
On May 13, 2025, Telegram made headlines by shutting down Haowang Guarantee, a major darknet marketplace that had been operating covertly for years. This decisive action resulted in the banning of thousands of associated accounts, channels, and groups, marking a significant shift in Telegram’s approach to combating crypto crime. The move was celebrated as a milestone in the fight against illicit activities facilitated by cryptocurrency, but it also exposed the challenges of enforcement in the rapidly evolving digital landscape.
Telegram’s crackdown reflects growing pressure on tech platforms to address their role in enabling illegal activities. By targeting Haowang Guarantee, Telegram has sent a clear message that it is willing to take a stand against crypto crime, even as enforcement gaps persist.
Haowang Guarantee’s Illicit Activities and Transaction Volume
Haowang Guarantee, formerly known as Huione Guarantee, was no ordinary darknet marketplace. It facilitated over $27 billion in illicit cryptocurrency transactions, primarily using Tether (USDT), a popular stablecoin. The platform offered a wide range of services, including:
Money laundering
Stolen personal data trading
Tools for scams like pig butchering
Deepfake software
Equipment for scam call centers in Southeast Asia
The scale of Haowang Guarantee’s operations was staggering. Its parent company, Huione Group, was linked to over $98 billion in crypto transactions. These activities extended beyond financial crimes, with alleged ties to Cambodian political elites, complicating enforcement efforts. Reports suggest connections to influential figures, including members of Prime Minister Hun Manet’s family, which may have shielded the group’s operations from scrutiny.
The Rise of Copycat Marketplaces
The shutdown of Haowang Guarantee created a vacuum in the darknet ecosystem, leading to the emergence of copycat marketplaces like Tudou Guarantee and Xinbi Guarantee. These platforms have rapidly gained traction, with Xinbi Guarantee alone processing $8.4 billion in transactions. Investigations have linked Xinbi Guarantee to a Colorado-based shell company flagged as delinquent in January 2025, highlighting the global nature of these operations.
While Telegram’s actions disrupted Haowang Guarantee, the rise of successor marketplaces underscores the resilience of the darknet ecosystem. These platforms are leveraging similar tools and techniques, including stablecoins, to facilitate illicit transactions. The rapid growth of these marketplaces poses new challenges for enforcement agencies and tech platforms alike.
Elliptic’s Investigative Role in Combating Crypto Crime
Elliptic, a leading blockchain analytics firm, played a pivotal role in uncovering Haowang Guarantee’s operations. Using advanced analytics tools, Elliptic traced the flow of funds and identified key players involved in the marketplace’s activities. Their findings were instrumental in prompting Telegram to take action against Haowang Guarantee.
Elliptic’s work has been described as a “game-changer” in the fight against crypto crime. By providing detailed insights into the operations of darknet marketplaces, Elliptic has set a new standard for investigative efforts in the cryptocurrency space. Comparisons have been drawn to historical cases like Silk Road and Alphabay, highlighting the significance of their findings.
Stablecoin Usage in Darknet Marketplaces
Stablecoins like Tether (USDT) have become the currency of choice for darknet marketplaces. Their stability and ease of use make them ideal for cross-border transactions, particularly in underground banking systems. Haowang Guarantee relied heavily on stablecoins to facilitate its operations, and successor marketplaces are following suit.
The widespread use of stablecoins in illicit activities has raised concerns about regulatory gaps. While stablecoins offer legitimate benefits, their role in enabling crypto crime cannot be ignored. Tighter controls and enhanced monitoring are needed to address this issue, but achieving this requires global cooperation.
Pig Butchering Scams and Other Fraud Techniques
Haowang Guarantee was notorious for facilitating pig butchering scams, a form of fraud that involves grooming victims over time to invest in fake cryptocurrency schemes. These scams often rely on stolen personal data and deepfake software to create convincing personas and scenarios.
In addition to pig butchering, Haowang Guarantee provided tools for other types of fraud, including scam call centers. These operations targeted victims across Southeast Asia, exploiting vulnerabilities in local enforcement and regulatory frameworks. The shutdown of Haowang Guarantee has disrupted these activities, but the techniques remain prevalent in successor marketplaces.
Global Law Enforcement Challenges in Combating Crypto Crime
The fight against crypto crime is a global challenge that requires coordinated efforts from law enforcement agencies, tech platforms, and regulatory bodies. Telegram’s crackdown on Haowang Guarantee is a step in the right direction, but it also highlights the limitations of isolated actions.
Darknet marketplaces operate across borders, making enforcement difficult. The involvement of political elites and shell companies further complicates efforts to dismantle these networks. Global cooperation is essential to address these challenges and ensure that enforcement actions have a lasting impact.
China-Based Underground Banking Systems Leveraging Stablecoins
Elliptic’s investigations have revealed that darknet marketplaces like Haowang Guarantee are part of a China-based underground banking system. These networks rely heavily on stablecoins for cross-border money laundering, exploiting regulatory gaps and technological loopholes.
The use of stablecoins in underground banking systems is a growing concern. It underscores the need for tighter controls and enhanced monitoring to prevent their misuse. However, addressing this issue requires a nuanced approach that balances the legitimate benefits of stablecoins with the risks they pose.
The Impact of Telegram’s Enforcement Actions on Darknet Ecosystems
Telegram’s crackdown on Haowang Guarantee has sent shockwaves through the darknet ecosystem. It has disrupted a major player and signaled a shift in Telegram’s policy toward combating crypto crime. However, the rise of successor marketplaces like Tudou Guarantee and Xinbi Guarantee highlights the resilience of these networks.
While Telegram’s actions are commendable, they are only the beginning. The fight against crypto crime requires ongoing vigilance and global cooperation. Enforcement agencies, tech platforms, and regulatory bodies must work together to address the challenges posed by darknet marketplaces and ensure that the digital landscape remains secure.
Conclusion
The shutdown of Haowang Guarantee is a significant milestone in the fight against crypto crime, but it also underscores the challenges of enforcement in the digital age. Telegram’s actions, supported by Elliptic’s investigative efforts, have disrupted a major player in the darknet ecosystem. However, the rise of successor marketplaces and the widespread use of stablecoins highlight the need for ongoing vigilance and global cooperation.
As the fight against crypto crime continues, it is clear that no single entity can tackle these challenges alone. By working together, law enforcement agencies, tech platforms, and regulatory bodies can make meaningful progress in addressing the risks posed by darknet marketplaces and ensuring the integrity of the cryptocurrency space.
