The U.S. Federal Bureau of Investigation (FBI) has recently announced the seizure of more than $200,000 in cryptocurrency from various wallets and exchange accounts connected to the Palestinian militant group Hamas. This action, detailed in a Thursday announcement, underscores the ongoing efforts of federal authorities to disrupt the financial networks that support terrorism.
The FBI reports that since last October, over $1.5 million in cryptocurrency has flowed through the seized wallets and accounts, primarily sourced from donations by Hamas supporters globally. This funding was allegedly promoted through a group chat that claimed ties to Hamas, an organization designated as a terrorist group by both the U.S. and the European Union. Investigations revealed that donations were laundered through a complex series of cryptocurrency exchanges and transactions.
U.S. Attorney Edward R. Martin Jr. of the District of Columbia stated, “These seizures show that this office will search high and low for every cent of money going to fund Hamas, wherever it is found, and in whatever form of currency. Hamas is responsible for the death of many U.S. and Israeli nationals, and we will stop at nothing to halt their campaign of terror and murder.”
The recent seizures included approximately $90,000 from an undisclosed number of wallets, alongside an additional $112,000 from three exchange accounts, as reported by the FBI. These accounts were registered to Palestinian individuals residing in Turkey and other locations.
Previous efforts by the U.S. Treasury Department, in conjunction with other foreign governments, have also targeted financial networks associated with Hamas. In April 2023, the Israeli Defense Ministry’s National Bureau for Counter Terror Financing (NBCTF) seized close to 200 cryptocurrency accounts linked to Palestinian currency exchanges. A report from blockchain analytics firm TRM Labs indicates that these actions have resulted in the seizure of “tens of millions” of dollars in cryptocurrency from Hamas-related accounts over recent years.
According to the U.S. Treasury, Hamas has been utilizing cryptocurrency for financial transactions since at least 2020. This strategy allows the organization to mitigate the risks associated with physically transporting cash while evading financial surveillance.
The ongoing efforts by U.S. and international authorities to disrupt Hamas’s financial pipelines highlight the growing recognition of the role that cryptocurrency plays in modern financing for terrorist activities. As regulators and law enforcement agencies continue to adapt to the evolving landscape of digital currencies, the seizure of funds linked to Hamas serves as a critical reminder of the persistent fight against terrorism and its financing.
