FinCEN Warns Of Crypto Terror Financing After Hamas Attack

The U.S. Financial Crimes Enforcement Network (FinCEN) has issued an alert urging vigilance around cryptocurrency transactions potentially connected to terrorist group Hamas.

FinCEN advised financial institutions to monitor for suspicious crypto activity after revealing Hamas used crypto fundraising for its recent attack on Israel.

The regulator told virtual asset providers to watch for transactions with entities in Hamas-tied jurisdictions, those already sanctioned, and social media crypto solicitations.

FinCEN warned that Hamas employed crypto and fictitious charities to raise funds, necessitating strict oversight of digital currency flows.

The announcement comes after 100+ U.S. lawmakers urged action on illicit crypto use following the attack. It also follows FinCEN proposing to crack down on crypto mixers over terror financing concerns.

Earlier in 2022, FinCEN released a similar warning regarding Russian entities evading sanctions with crypto. The Hamas notice reinforces regulator scrutiny of cryptocurrencies in relation to national security threats.

#cryptocurrency #terrorism #regulation #FinCEN #finance

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