BlockBeats News, May 16, the Binance Research Institute released a report stating that cryptocurrency is not a "safe haven for illicit funds." By 2025, approximately 11% of global illicit funds in the crypto space have been traced or frozen, which is about 55 times the recovery rate of the traditional fiat system.

The report indicates that this data is compiled from public enforcement and freeze actions by institutions such as Tether, Interpol, and the T3 Financial Crime Unit, rather than the results of a single regulatory agency. Furthermore, compared to the UN Office on Drugs and Crime (UNODC) estimated recovery rate of less than 1% of illicit funds in the traditional financial system annually, the crypto space demonstrates significantly higher tracking and recovery efficiency.

The research also mentions that even excluding a single large-scale case (involving around $15 billion worth of Bitcoin in the Prince Group incident), the remaining cryptocurrency asset recovery rate by 2025 is still approximately 10 times higher than that of the traditional financial system.

In addition, data from SlowMist and PeckShield show that by 2025, approximately 8.3% to 13.2% of stolen cryptocurrency assets have been successfully recovered or frozen, reflecting an improvement in security response and collaboration efficiency between exchanges, stablecoin issuers, and law enforcement agencies.

The report concludes that while crypto crime remains, the view that "cryptocurrency assets are inherently more suitable for illicit activities" is being undermined by on-chain transparency and regulatory cooperation.