Cryptocurrency Crackdown Targets Hamas Fundraising Network

Seizure of Over $200,000 in Cryptocurrency Weakens Hamas's Global Terror Network

In a significant blow to terrorist financing operations, the US Justice Department has announced the successful seizure of approximately $201,400 in cryptocurrency intended to support the activities of Harakat al-Muqawama al-Islamiyya (Hamas). This seizure follows an extensive investigation that traced virtual currency donations made since October 2024, revealing that Hamas had laundered over $1.5 million through digital fundraising efforts.

Attorney General Pam Bondi has reinforced the Department's commitment to dismantling Hamas's operational networks. Sue J. Bai, head of the Justice Department’s National Security Division, emphasised that the Department will leverage every available tool to disrupt Hamas’s financial lifelines. Similarly, US Attorney Edward R. Martin Jr. for the District of Columbia stressed that authorities will relentlessly pursue and seize every asset supporting Hamas, underscoring the group's culpability in the deaths of numerous U.S. and Israeli nationals.

Sophisticated Cryptocurrency Laundering Network Exposed

Court documents reveal that Hamas operatives utilised encrypted communication platforms to distribute at least 17 different cryptocurrency addresses to supporters worldwide. Funds donated were subsequently pooled into an operational wallet and laundered through a complex network of virtual currency exchanges, financiers, and over-the-counter brokers. This laundering mechanism facilitated the movement and disguise of more than a million dollars.

Among the assets seized were cryptocurrency addresses valued at approximately $89,900, along with three accounts containing a further $111,500. The seized accounts were registered under Palestinian individuals based in Turkey and other locations, highlighting the transnational nature of Hamas’s financial network.

FBI Leads Coordinated Disruption Effort

The operation was spearheaded by the FBI Albuquerque Field Office, working in close collaboration with the FBI Counterterrorism Division and Cyber Division. Assistant Director David J. Scott of the FBI Counterterrorism Division praised the seizure as a demonstration of the Bureau's strategy to undermine terrorist groups by targeting their financial infrastructure. Special Agent in Charge Raul Bujanda of the FBI Albuquerque Field Office added that disrupting access to funds is a crucial strategy in weakening terrorist capabilities and safeguarding American lives.

Prosecutorial Team Ensures Justice

The case is being prosecuted by Assistant US Attorney Tejpal Chawla for the District of Columbia, Trial Attorney Jacques Singer-Emery of the National Security Division’s National Security Cyber Section, and Trial Attorney Jessica Joyce of the National Security Division’s Counterterrorism Section. Their coordinated efforts aim to bring those responsible for financing terror to justice and to further restrict Hamas’s operational capacity.

This latest disruption represents a critical success in the ongoing financial war against terrorism, illustrating the increasing importance of cryptocurrency seizure operations as part of comprehensive counterterrorism strategies.

Read the press release here.