Only 1% of stablecoin transactions in 2024 are linked to criminal activity.
A recent report by TRM Labs has revealed new data on stablecoin usage in 2024. Contrary to widespread perception, 99% of stablecoin transactions were entirely legal and compliant with existing regulations.
The research shows that over 60% of last year’s total transaction volume was conducted using dollar-pegged tokens.
One key point highlighted in the report is the intrinsic traceability of stablecoins. Operating on public blockchains, these digital currencies allow for highly precise transaction monitoring through specialized analytics tools.
Issuers of centralized tokens like USDT and USDC also have the ability to freeze or permanently remove tokens associated with illicit activities.
TRM Labs data shows a 24% decrease in crypto-related criminal activity compared to 2023, with a total of $45 billion representing just 0.4% of overall crypto transaction volume. This decline is attributed to increased law enforcement efforts, stronger industry collaboration, and the growing adoption of advanced analytics tools.
According to TRM Labs, regulatory clarity provided by legislation such as the GENIUS Act could accelerate stablecoin adoption among major banks, financial institutions, and corporations. Many of these entities are already testing stablecoin-based infrastructures for cross-border payments, supply chain management, and programmable finance.