Major victory against online crime, two of the world’s largest illicit marketplaces-Huione Guarantee (also known as “Haowang Guarantee”) and Xinbi Guarantee-were forced offline on May 13, 2025.
These platforms collectively enabled over $35 billion in transactions, mostly in the stablecoin Tether (USDT), for a range of illegal goods and services including money laundering, stolen data, human trafficking, and torture devices.
The takedown, led by Telegram based on intelligence from blockchain analytics firm Elliptic, marks a significant disruption in the global online scam industry.
Unlike the first generation of darknet markets such as Silk Road and Alphabay, which operated via the privacy-focused Tor browser, Huione and Xinbi leveraged the instant messaging app Telegram to reach a broader audience.
These so-called “guarantee marketplaces” targeted predominantly Chinese-speaking scammers, offering everything needed to run sophisticated, industrial-style frauds-from stolen contact data and communications infrastructure to money laundering channels.
Mass-Scale Scamming
Guarantee marketplaces like Huione and Xinbi did not sell illicit goods directly. Instead, they functioned as highly organized platforms for third-party merchants.
Administration operated anti-fraud controls, including merchant deposits (“guarantees”) and escrow services, while bots ensured smooth transaction fulfillment.
Most payments occurred in USDT, allowing anonymity for both sellers and buyers.
By providing infrastructure for criminal activities, these platforms enabled online scammers-especially those in China and Southeast Asia-to operate at unprecedented scale.
In just four years, Huione Guarantee facilitated more than $27 billion in criminal transactions, making it the largest illicit marketplace ever.
Xinbi Guarantee, established in 2022, processed over $8.4 billion in USDT for similar activities, including the sale of stolen data, intimidation-as-a-service, and even access to surrogates.
This scale dwarfs every known darknet market; for context, AlphaBay and Silk Road together only accounted for around $855 million in transactions, while the Russian-language Hydra marketplace reached $5.6 billion.
Telegram’s Action and the Aftermath
Telegram had previously attempted to curb these illicit operations by deleting some of the marketplaces’ channels.
However, Huione Guarantee was able to quickly reestablish itself using backup channels and NFT-linked usernames, though this move significantly reduced its user base.
On May 13, Telegram escalated its crackdown by deleting both Huione and Xinbi channels and banning their associated usernames, effectively preventing the marketplaces from redirecting users to new channels.
According to the Report, This decisive action forced Huione Guarantee to announce a permanent closure and encourage users to shift to Tudou Guarantee, another platform in which it holds a 30% stake.
Tudou immediately saw a 30% surge in users. In contrast, Xinbi Guarantee pledged to relaunch as “Xinbi 2.0,” but some community members suspect an “exit scam.”
This shutdown is expected to have broad implications. It exposes the vulnerability of centralized platforms like Telegram as havens for criminal activity, potentially accelerating the shift toward decentralized, censorship-resistant communication systems.
Industry experts warn that new iterations may soon emerge, possibly using proprietary apps or decentralized alternatives.
Elliptic’s analytics and the inherent transparency of cryptoassets played a crucial role in this crackdown.
Their insights not only quantified the criminal economy but also facilitated actionable intelligence, leading to the shutdown of the largest online illicit marketplaces in history-a major step forward in combating global online scams.
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