Sen. Warren and Over 100 Lawmakers Seek Biden's Strategy Against Crypto-Financed Terrorism

Sen. Elizabeth Warren, along with over 100 lawmakers, has expressed concern regarding how Hamas raised millions of dollars through cryptocurrency and is seeking answers from the Biden administration, as per a recent The Block report. They cited a report from the Wall Street Journal, which revealed that Hamas and other militant groups used cryptocurrency for financing prior to attacks in Israel. A bipartisan letter was sent to the Treasury Department and the White House, urging swift action to address crypto illicit finance risks before it can be used to finance further tragedies.

One measure lawmakers are considering is Sen. Warren's bill to crack down on the use of cryptocurrency for money laundering and sanctions evasion. The letter seeks information on the steps the Biden administration is taking to address the use of crypto by terrorist organizations, accounts held at crypto exchange Binance, and the use of Tether. A response is expected by October 31.

The Treasury Department has also taken action by announcing new sanctions against a Gaza-based virtual currency exchange and its operator, along with sanctions on ten Hamas terrorist groups and individuals in various countries.

The crypto industry has emphasized the importance of clear anti-money laundering and counter-financing of terrorism rules and expressed a willingness to collaborate with policymakers to combat illicit activities and protect national security.

Resources:

The Block

Wall Street Journal