Telegram app hosts ‘underground markets’ for Southeast Asia

A recent United Nations report has raised serious concerns about the use of messaging app Telegram by organized criminal networks in Southeast Asia. The app’s encryption features and lack of moderation have enabled large-scale illegal activities, including cybercrime, data theft and money laundering.

The UN Office on Drugs and Crime (UNODC) released a report on Monday detailing how Telegram has fundamentally changed the way organized crime operates, especially in Southeast Asia. Criminal syndicates, including Chinese groups running billions of dollars worth of fraudulent schemes, use Telegram’s vast, unmoderated channels to trade hacked data including credit card information, passwords and browser history.

One of the most dangerous aspects of the report is the sale of cybercrime tools. It includes deepfake software and data-stealing malware. Additionally, the report cited advertisements on the platform promoting services that facilitate large-scale financial crimes. In one scenario, a seller advertised moving “3 million USDT stolen from abroad every day.” The report highlighted that underground data markets are increasingly shifting to Telegram, with sellers targeting transnational crime groups in Southeast Asia.

The region is a hotspot for illegal activities. The criminal organizations generate an estimated $27.4 billion to $36.5 billion annually. Many of these operations are conducted from heavily fortified complexes staffed by trafficked workers, highlighting both the scale and severity of these networks.

Telegram is increasingly criticized for its role in facilitating criminal activity. Last month, its founder, Russian-born Pavel Durov, was arrested in Paris and charged with allowing illegal activities, including the distribution of child sexual exploitation material. Durov’s arrest has sparked widespread debate over the responsibility of app providers in regulating content and where to draw the line between free speech and law enforcement.

In response to his arrest, Durov announced that Telegram would hand over users’ IP addresses and phone numbers to authorities upon legal request. He also promised to remove certain features that had been misused for illegal purposes. However, critics argue that this may not be enough to limit the widespread use of the app for criminal activities.

The UNODC report shows that Southeast Asia is a major hub for cyber fraud, with deepfakes and generative artificial intelligence playing an increasingly important role in these schemes. More than ten deepfake software vendors have been identified specifically targeting criminal groups in the region. These technologies are used for fraudulent purposes, further complicating efforts to combat organized crime.

The impact of criminals’ use of Telegram extends beyond Southeast Asia. In South Korea, police are investigating the app’s role in enabling online sex crimes, especially involving deepfake pornography.

Similarly, a hacker in India used Telegram chatbots to leak sensitive data from a top insurer, Star Health. This data included policy documents, personal identification information, and medical records, raising serious concerns about privacy and data security.