Gray-market peptide crypto trade hits $100M run rate

Blockchain analytics firm Chainalysis reported that on-chain gray-market peptide trade reached a roughly $100 million annual run rate after crypto inflows rose 159% quarter-over-quarter to $32 million in Q1 2026, the sixth straight quarter of growth.

Inflows to addresses linked to the gray-market peptide ecosystem climbed from $12 million to $32 million in the first quarter, following a trend that began in mid-2024. For most of 2024, quarterly inflows were near $1 million before a sustained increase.

Gray-market peptides are unbranded, unregulated versions of compounds used in weight-loss and cosmetic treatments. Suppliers overseas sell the products directly to consumers at lower prices than licensed pharmacies.

Banks and card processors typically refuse to process these sales. As a result, buyers and sellers have shifted to cryptocurrency to settle payments.

Chainalysis identified a change in how larger vendors handle crypto funds. Major sellers increasingly rely on Bitcoin and stablecoins instead of keeping a wide mix of volatile tokens. Wholesale vendors that receive average deposits of $1,000 or more overwhelmingly favor stablecoins for large orders.

The firm noted that stablecoin use can limit exposure to sudden price swings in other crypto markets and reflects deliberate fund-management choices.

Chainalysis wrote, “This baseline shifted with the rise of the ‘MAHA’ (Make America Healthy Again) movement. In late 2025, the market collided with the ‘looksmaxxing’ ecosystem on TikTok and other social platforms.”

Chainalysis described the pattern as evidence of a professionalizing underground market and added that upcoming quarters will show whether the $100 million pace holds as regulatory scrutiny and law-enforcement attention increase.

The firm’s on-chain analysis measures crypto inflows to addresses associated with vendors and tracks how those vendors move and hold funds, providing a view of sales that do not pass through traditional financial rails.