Elliptic Intelligence Powers US Secret Service Takedown of $52.8M Xinbi Crypto Assets

The U.S. Secret Service has frozen $52.8 million in cryptoassets linked to the Xinbi marketplace, utilizing intelligence provided by Elliptic. For fintech professionals, this enforcement action highlights the growing efficacy of on-chain risk intelligence in dismantling massive illicit networks that bridge the gap between traditional finance and decentralized ecosystems.

What was announced

The United States Secret Service (USSS) has executed a major enforcement action against Xinbi, an illicit online marketplace, freezing wallets containing $52.8 million in cryptoassets. This operation was powered by intelligence from Elliptic, specifically through its Data Fabric Solutions, which allowed investigators to integrate on-chain and off-chain data. Since its inception in 2022, Xinbi Guarantee and its associated merchants have processed at least $24 billion in transactions, positioning it as the second-largest illicit online marketplace in history. Furthermore, a linked payment service, Xinbi Pay, is credited with processing an additional $6 billion.

The intelligence provided by Elliptic was reportedly unique in its ability to connect disparate data points into a comprehensive view of the illicit network's activity, rather than providing a limited snapshot. This latest intervention follows a string of regulatory and enforcement successes against Chinese money laundering organizations and scam infrastructures. Previous milestones include the May 2025 shutdown of Huione Guarantee on Telegram, a FinCEN designation of Huione Group as a primary money laundering concern, and sanctions imposed by the United Kingdom against Xinbi in May 2026. The action underscores a tightening net around large-scale criminal operations that have historically relied on the perceived anonymity of blockchain transactions to move billions of dollars globally.

"For years, Xinbi Guarantee exploited the gap between on-chain and off-chain data to stay hidden. Elliptic's intelligence closed that gap, giving investigators everything they needed to act. Today's action is proof of what government agencies and industry can achieve in partnership, and we will keep exposing these networks wherever they operate."

Simone Maini, Chief Executive Officer at Elliptic.

The companies involved

Founded in 2013, Elliptic has established itself as a prominent player in the risk intelligence sector for on-chain finance. Headquartered in London, the firm maintains a global footprint with offices in major financial hubs including New York, Washington, D.C., Miami, Dubai, Hong Kong, Singapore, and Tokyo. The company focuses on real-time compliance and blockchain data, providing tools designed to help organizations manage risk and achieve regulatory compliance. Elliptic’s platform is built to handle the complexities of agentic speed in the digital asset space, offering coverage and accuracy that high-stakes organizations require for intelligence operations.

The United States Secret Service, which led the recent asset freeze, is a federal law enforcement agency. While traditionally known for protection services, the USSS plays a critical role in investigating financial crimes, including those involving digital currencies and international money laundering syndicates. The partnership between a private intelligence provider like Elliptic and a federal agency like the USSS demonstrates the increasing reliance of state actors on specialized third-party data to navigate the technical hurdles of decentralized finance and identify actors operating across international borders.

What FF News has reported before

FF News has closely followed Elliptic’s expanding role in the crypto-compliance landscape. In July 2026, the firm introduced Elliptic Launches Next-Gen Continuous Monitoring to Slash Crypto Compliance Alerts by 75%, a move aimed at streamlining the workload for compliance officers. This followed the announcement that Elliptic and Circle Partner to Pioneer AI-Driven Agentic Compliance for Digital Assets. The company’s intelligence has been central to other major takedowns, as seen when the FBI Leverages Elliptic Intelligence to Take Down $134 Billion Huione Criminal Network in June 2026. These operational successes are backed by significant capital; earlier that year, Elliptic Secures $120 Million Investment From Nasdaq Ventures, Deutsche Bank, One Peak and the British Business Bank, signaling strong institutional confidence in their technology.

What this means

The scale of the Xinbi takedown confirms that the era of "untraceable" large-scale crypto laundering is effectively over. By successfully mapping $30 billion in total transaction volume across Xinbi and its affiliates, investigators have proven that high-volume illicit marketplaces can no longer hide behind the complexity of cross-chain movements. This puts immense pressure on other blockchain analytics providers to match the depth of integration between on-chain and off-chain data demonstrated here. For the broader fintech sector, this signals a shift where compliance is no longer just about flagging suspicious transactions, but about active participation in global law enforcement efforts to dismantle criminal infrastructure.