Encrypted messaging platform Telegram has changed the way criminal organizations operate in Southeast Asia amid legal problems for its founder, Pavel Durov, according to a new United Nations report .
In the October 7 report, the UN noted that unregulated platforms such as virtual asset service providers (VASPs) are “used by large criminal groups to move, launder and integrate billions of dollars of criminal proceeds into the financial system without accountability.”
According to the United Nations Office on Drugs and Crime (UNODC), financial bosses earned between $18 billion and $37 billion in fraud targeting victims in East and Southeast Asia in 2023 alone.
Meanwhile, the Chainalysis 2024 Global Cryptocurrency Deployment Index shows that Central and South Asia and Oceania boast 7 of the 20 countries driving cryptocurrency adoption worldwide.
“Organized crime groups are converging and exploiting loopholes, and the developing situation is rapidly outpacing the ability of governments to stop it,” – Masood Karimipour, UNODC Regional Representative for Southeast Asia and the Pacific, said. “… It is more important than ever for governments to recognize the seriousness, scale and scope of this truly global threat and to prioritize solutions that address the rapidly expanding criminal ecosystem in the region.”
The report marks the latest fallout Durov has experienced since his arrest outside Paris on August 24 for allegedly failing to take action to curb illegal content on Telegram.