China's AI-Powered Bitcoin Money Laundering Detection Tool Hits 90% Accuracy Rate
Chinese researchers have developed an AI framework that can detect illicit cryptocurrency transactions with nearly 90% accuracy, according to a recent study. The framework was created by researchers from China's national police academy and is intended for use by regulatory authorities to combat financial crime.
The study comes as authorities in China continue to focus on cryptocurrency-linked financial crime. In March, the Supreme People's Procuratorate reported that prosecutors indicted 3,259 people in 2025 for money laundering involving virtual currencies and underground banks.
Corresponding author Dr Sun Jingchao wrote in the study that it provides a 'precise, generalisable and interpretable solution for detecting illicit cryptocurrency transactions'. The AI framework is designed to be adaptable and can be applied to different types of cryptocurrency transactions.