Telegram Takedowns Reshape Huione Escrow Network as Tudou Volumes Surge

Enforcement actions and platform bans directed at Southeast Asian crypto escrow platforms have pushed illicit activity toward alternative channels rather than stopping it, according to analysis by TRM Labs ¹. Telegram shut down accounts tied to Huione Guarantee and Xinbi Guarantee on May 13, 2025 ¹. The takedown came shortly after the US Treasury's Financial Crimes Enforcement Network designated Cambodia-based Huione Group as a primary money laundering concern under Section 311 of the USA PATRIOT Act on May 1, 2025 ¹.

Despite the messaging platform's intervention, transaction data indicates the illicit guarantee ecosystem adjusted quickly ¹. Huione-connected infrastructure has handled more than $96 billion in digital assets since 2021, serving as an operational center for North Korean cyber heists, investment scams, and pig butchering operations ¹. While Huione Guarantee announced the closure of its escrow offering on May 11, 2025, TRM Labs reported that the platform appears to be integrating with or running through Tudou Guarantee ¹. Vendors previously based on Huione Guarantee migrated to Tudou while retaining identical wallet infrastructure ¹.

Shifting Liquidity and Shared Infrastructure

The migration catalyzed a nearly 70-fold increase in daily incoming transaction volume for Tudou Guarantee following the May 11 shutdown notice ¹. Because Tudou does not provide native custodial wallet features, its merchants depend on Huione Pay to accept and store capital ¹. Consequently, Huione Pay saw its transaction volume climb by 50% immediately following the platform ban before steadying at levels roughly 10% above its pre-ban baseline ¹. Blockchain tracking further established that Huione Pay hot wallets have transmitted assets directly into Huione Guarantee security deposit addresses since at least 2021 ¹.

Meanwhile, competitor Xinbi Guarantee, which intelligence analysts assess is likely situated in Southeast Asia's Golden Triangle, saw daily inflows jump roughly 90% ¹. Unlike Huione, Xinbi successfully returned to Telegram under its original identifier and subsequently promoted an association with Solaire Casino ¹. Huione Guarantee's own daily inflows leveled off at approximately $30 million—down from a temporary bump to $40 million post-ban and half of its $60 million daily peak in 2024 ¹. Huione Group later secured a new Telegram account on May 25, 2025, maintaining automated bots to preserve customer connections while steering traffic to Tudou ¹.