A new study from TRM Labs found that 60% of illicit cryptocurrency transactions in the first quarter of 2025 involved stablecoins. At the same time, the report stressed that 99% of stablecoin activity remains legitimate, underscoring that unlawful usage represents only a small fraction of the sector’s broader transaction base.
Stablecoin volumes keep climbing
According to the report, stablecoin usage continued to expand rapidly in 2025. From January through July, stablecoin transaction volume rose 83% year over year, surpassing $4 trillion. The data highlights how central stablecoins have become to the crypto economy, particularly for payments, transfers, and on-chain settlement.
TRM Labs linked the strong presence of stablecoins in illicit flows to several structural advantages: low transaction costs, fast settlement speeds, and broad availability across major blockchains. The report specifically pointed to Tron and Ethereum as networks where stablecoins are widely used, making them especially accessible for a range of transaction types.
Adoption trends point to South Asia
Beyond illicit finance, the study also looked at broader adoption trends. It identified India as the leading country in crypto adoption, with the United States close behind. On a regional basis, South Asia was described as the fastest-growing area for cryptocurrency usage, reflecting continued momentum in emerging markets.
Overall, the report presents a mixed picture: stablecoins are becoming increasingly important infrastructure within digital asset markets, but their efficiency and accessibility also reinforce the need for stronger compliance tools, monitoring, and risk management across the ecosystem.