Crypto funds intended for Hamas seized by US

The National

5 days ago

Some $2 million in cryptocurrency assets intended for Hamas has been seized by the US government, according to recently unsealed court forfeiture documents from the US Department of Justice.
According to court filings, the digital currency was held in Tether and Binance accounts connected through BuyCash, a 'Gaza-based money transfer business' allegedly involved in helping to finance Hamas.
'Terrorist organisations like Hamas and their affiliates rely on shadowy financial networks to fund their deadly operations,' US Attorney General Pamela Bondi said.
'By seizing millions in cryptocurrency, the Justice Department is aggressively dismantling the financial infrastructure of terrorism and refusing to allow our digital currency platforms to become safe havens for terrorist financing.'
The court filings allege that a man named Ahmed M M Alaqad, a partial owner of the BuyCash operation, is also suspected of supporting ISIS and Al Qaeda, among other groups.
Unsealed court documents accuse him of 'materially supporting Hamas' after the group's attack on Israel in October 2023.
According to the DoJ, the specific method of transferring funds via digital assets likely resulted in Hamas previously receiving as much as $4 million.
'These types of money transfers are a classic money laundering technique, as they intend to disguise the nature, location, ownership, and control of the funds being transferred,' read the unsealed court filings.
Despite growing enthusiasm for crypto, scepticism still abounds. Unlike fiat currencies, crypto mostly lacks an overall regulatory apparatus and is largely decentralised, making it appealing to groups with nefarious intentions.
In May, a man in the US was sentenced to more than 30 years in prison after a court found him guilty of converting $185,000 to cryptocurrency and transferring it to ISIS.
In March, an investigation originating from the FBI's field office in New Mexico has led to the seizure of $201,400 in cryptocurrency assets that was intended to finance Hamas.