Despite facing heavy regulatory scrutiny and being labeled a top money laundering concern by U.S. authorities, the controversial Huione crypto laundering network continues to thrive — and even grow.
According to new data from Chainalysis, Huione’s transaction volumes have actually increased since FinCEN (the Financial Crimes Enforcement Network) designated the platform as a primary money laundering concern on May 1 under the USA PATRIOT Act.
FinCEN’s Crackdown Fails to Halt Huione’s Activity
The action marked FinCEN’s second major move under Sections 311 and 9714, which allow for swift targeting of financial threats without court orders. Once flagged, U.S. financial institutions typically cut ties immediately to avoid penalties, effectively removing access to dollar-based transactions.
However, the intended impact seems to have fallen short.
Shortly after the FinCEN announcement, Huione’s original website and several Telegram channels were taken down, fueling speculation that the network had been shut down. But Chainalysis reveals that Huione quickly resurfaced under a new domain — Huione.me — maintaining its branding, user base, and functionality.
Huione Still Lists Its Tokens and Operates Openly
Despite the sanctions, Huione continues to list and trade its native token XOC and stablecoin USDH. It also remains active on Telegram, where user engagement is strong, indicating that its core community and operations remain largely untouched.
Meanwhile, other smaller “guarantee services” briefly attempted to fill the void left by Huione’s takedown. Platforms like Tudou Danbao saw momentary spikes in usage, but none came close to matching Huione’s scale or transaction volume. Most users, it seems, simply stayed within the Huione ecosystem.
What This Says About Global Crypto Enforcement
The ongoing activity highlights a broader issue: fragmented enforcement efforts and regulatory loopholes continue to limit the effectiveness of global crackdowns on illicit crypto networks.
According to Chainalysis, disrupting sophisticated laundering operations like Huione’s requires international cooperation and real-time intelligence sharing. Traditional enforcement methods are proving insufficient, but blockchain analytics tools are helping close the gap by tracking flows that would otherwise go unnoticed.
Key Takeaways
- Huione’s transaction volume increased even after U.S. sanctions.
- The platform quickly rebranded and resumed operations via Huione.me.
- Its core community remains active, especially on Telegram.
- Competing services failed to capture the same market share.
- Experts say coordinated, real-time global action is crucial to disrupting these networks.
