Germany’s Financial Intelligence Unit (FIU) has reported a sharp rise in crypto-related crimes in 2024, marking an 8.2% increase from the previous year. In its newly released annual report, published on June 10, 2025, in Cologne, the FIU revealed that 8,711 suspicious activity reports (SARs) linked to cryptocurrency transactions were submitted last year, up from 8,049 in 2023.
This increase comes despite a broader decline in overall SAR filings, largely attributed to new guidelines introduced by the FIU that aim to filter out irrelevant reports. While the measures have streamlined reporting, they have also cast a spotlight on the intensifying role of digital assets in financial crime.
Bitcoin, Ethereum, and Tether Under the Scanner
The report details how leading cryptocurrencies—Bitcoin, Ethereum, Tether, and Litecoin—are being frequently used in fraudulent transactions. These assets were commonly connected to mixing services, online gambling platforms, and loosely regulated trading hubs. The FIU noted that these avenues often serve to obscure the origin of digital funds, playing a pivotal role in laundering illicit proceeds.
“Crypto is increasingly being used to mask the trail of illegal money,” the agency observed in its analysis, highlighting how the very features that make digital currencies attractive—anonymity, speed, and borderless nature—also pose major challenges for regulators.
Part of a Global Trend in Crypto Crime
Germany’s alarming uptick mirrors a broader international trend. Across the Atlantic, the FBI has reported a similar escalation in crypto fraud. “We’ve contacted more than 5,400 victims of crypto scams from January 2024 to April 2025,” said Christopher Delzotto, Section Chief of the FBI’s Financial Crimes Section. “Many didn’t even realise they’d been targeted.”
The rise is not confined to just one region. The UK’s National Crime Agency (NCA) disclosed that SAR filings surged past 872,000 during the 2023–2024 period. Notably, over 6.6% of those reports were connected to crypto exchanges, reflecting the asset class’s growing influence in illegal finance. The UK also reported an increase in counter-terrorism financing concerns and account freezes tied to suspicious digital transactions.
In the U.S., the Financial Crimes Enforcement Network (FinCEN) noted receiving more than 8,600 crypto-related SARs in 2023. Following an advisory issued in September of that year, the agency saw weekly filings spike to over 1,560, contributing to a total of 4.6 million SARs overall.
Europe’s Regulatory Clampdown Looms
As the criminal use of crypto continues to rise, regulators across Europe are responding with increasingly stringent measures. In a significant step, the European Union is set to ban all privacy-enhancing coins by July 1, 2027.
This includes a crackdown on anonymous crypto wallets and a mandate for full Know Your Customer (KYC) verification for any crypto transaction exceeding €1,000. Under the new framework, all EU-based crypto services will be required to verify user identities and trace all transactions.
The reforms are part of the EU’s broader anti-money laundering strategy, aiming to bring crypto under the same transparency standards as traditional finance.
Chainalysis: Crypto Laundering Still High Despite Dip
While some metrics suggest modest improvements, the overall threat remains significant. A Chainalysis report noted that while crypto laundering volume dropped from $31.5 billion in 2022 to $22.2 billion in 2023, the figures are still well above pre-2021 levels.
These trends underline the persistent challenges law enforcement faces as digital currencies become more embedded in financial systems. The declining laundering volume may offer hope, but regulators remain cautious.
Crypto Crime: A Rising Risk in a Digital Age
As Germany’s FIU report makes clear, the world is entering a new phase in the battle against financial crime—one where traditional tools must adapt to digital realities. The ongoing rise in crypto-related offences, even amid regulatory tightening, suggests a game of cat and mouse between law enforcement and criminals moving swiftly through cyberspace.
The numbers from Germany, the U.S., and the U.K. echo a common refrain: the future of finance may be decentralised, but so are the threats.
