How Telegram Took Down a $27B Black Market

TLDR Haowang Guarantee, a Chinese-language marketplace on Telegram for crypto scammers, shut down after mass account bans The marketplace facilitated over $27 billion in illicit transactions, making it possibly the largest black market in internet history Services included money laundering via Tether, victim data, and equipment used in scam compounds across Southeast Asia Telegram’s ban followed inquiries from WIRED and research by crypto-tracing firm Elliptic A similar marketplace called Xinbi Guarantee, which handled $8.4 billion in illicit transactions, was also affected by the ban Haowang Guarantee, described by researchers as potentially the internet’s largest black market ever, has shut down following a massive purge of accounts by Telegram. The Chinese-language marketplace, which enabled over $27 billion in illicit transactions, announced it would cease operations after Telegram banned thousands of accounts linked to the platform on May 13, 2025. “Telegrame were blocked all of our NFT, Channels and group on May 13th 2025, Haowang Grarantee will cease operation from now,” the company wrote in a brief, error-filled statement on its website. The marketplace previously operated under the name Huione Guarantee before rebranding. Telegram’s actions came after WIRED contacted the messaging platform about findings from crypto-tracing firm Elliptic. The security researchers had been tracking the marketplace since July of last year, documenting its role in facilitating money laundering and other services for crypto scammers. The scope of the operation was massive. By Elliptic’s accounting, Haowang Guarantee had processed over $27 billion in transactions, making it “by far the largest single black market operation in the internet’s history,” according to their report. Services for Scammers The marketplace operated as a third-party vendor platform for crypto scammers, using deposit and escrow systems to “guarantee” transactions between users. The primary service was money laundering via the Tether cryptocurrency, but vendors also sold other tools essential to crypto scam operations. These services included personal data for targeting potential victims, telecommunications infrastructure, deepfake software, and even physical restraint devices like GPS-enabled collars and electric batons. These physical items were reportedly used to control workers in scam compounds that have spread across Southeast Asia, including Myanmar, Cambodia, and the Philippines. Telegram spokesperson Remi Vaughn confirmed the platform’s action in a statement to WIRED: “Communities previously reported to us by WIRED or included in reports published by Elliptic have all been taken down,” adding that “criminal activities like scamming or money laundering are forbidden by Telegram’s terms of service.” The US Treasury’s Financial Crimes Enforcement Network may have influenced the timing of the ban. Earlier this month, they added Huione Group, the parent company of Haowang Guarantee, to a list of known money laundering operations to limit its access to US financial institutions. Tom Robinson, co-founder of Elliptic, called the shutdown “a huge win” and “a game changer in terms of overall online criminal markets.” He said, “This marketplace was a key enabler of the global scam epidemic, and I think this will put a real dent in the ability of online scammers to do what they do.” The impact extends beyond just Haowang Guarantee. Xinbi Guarantee, another Telegram-based illicit marketplace that had processed $8.4 billion in transactions since 2022, was also targeted in the ban. According to Elliptic, Xinbi facilitated money laundering, sales of stolen data, harassment for hire, and apparent sex trafficking. While Haowang Guarantee announced its shutdown almost immediately after the bans, Robinson notes that Xinbi Guarantee appears to be attempting to relaunch on new Telegram channels. There’s also evidence that Haowang’s owners hold stakes in a similar marketplace called Tudou Guarantee, which has seen a surge in new users. The Cambodia connection raises further concerns. Huione Group, the parent company behind these marketplaces, has reported links to businesses associated with Cambodia’s ruling family. Hun To, cousin of Cambodian Prime Minister Hun Manet, serves as a director for one of these companies and has been linked to an alleged scam compound in an Al Jazeera investigation. Despite this major setback, Robinson cautions that this isn’t the end of the crypto-scam industry. The operators may try to rebuild their operations on other messaging platforms with less oversight, or even move to decentralized platforms where bans are harder to enforce. “Online crime is a cat-and-mouse game in general. But these are very large mice,” Robinson said. “It’s a big blow to the criminal ecosystem that will take a long time to recover from.” Source: https://blockonomi.com/crypto-scammers-paradise-lost-how-telegram-took-down-a-27b-black-market/