tl;dr
Blockchain analytics firm Elliptic revealed that Colorado-based Xinbi Guarantee is a major cybercrime marketplace facilitating $8.4 billion in illicit crypto transactions since 2022. Operating mainly on Telegram, Xinbi Guarantee serves scammers and criminals in Southeast Asia, offering services like...
Blockchain analytics firm Elliptic has exposed Xinbi Guarantee, a Colorado-registered marketplace operating on Telegram, as facilitating $8.4 billion in illicit cryptocurrency transactions since 2022, predominantly using Tether (USDT). The platform has experienced rapid user growth, increasing its user base by 95.8% in 2024 to 233,000 users, making it the second largest illicit online market specializing mainly in money laundering and a range of criminal services including human trafficking and fraud.
Xinbi Guarantee has laundered stolen crypto assets from significant hacks, notably $235 million stolen from the Indian exchange WazirX in July 2024. It also offers nefarious services such as selling stolen personal data, fake IDs, harassment-for-hire, and facilitating sex trafficking. These services cater primarily to a Chinese-speaking criminal clientele, despite the platform’s legal incorporation in Colorado, which has raised concerns about possible regulatory loopholes shielding illicit activities.
The investigation revealed that Xinbi Guarantee acts as a critical infrastructure for scammers, categorizing merchants into nine segments, with money laundering constituting the bulk of transactions. The platform also trades in advanced technologies like Starlink devices to advance scams, and it has been linked to targeted harassment and stalking services.
Following Elliptic’s findings, Telegram imposed bans on multiple channels connected to Xinbi Guarantee and similar marketplaces such as Huione Guarantee, marking a significant crackdown on digital black markets. These moves signal increased regulatory attention on illicit activities flourishing within encrypted and decentralized communication platforms.
The legal incorporation of Xinbi Guarantee in Colorado, with the company listed as delinquent for failing to file periodic reports, highlights the challenges regulatory bodies face in addressing cybercrime marketplaces that exploit jurisdictional complexities. Elliptic’s ongoing research into these covert operations sheds light on the growing scale and sophistication of illicit crypto networks in Southeast Asia and beyond.