Terrorist Organizations Use Third-Party Bank Accounts and Cryptocurrency to Funnel Donations
New Report Reveals Hamas’ Financial Tactics
A recent report has uncovered that terrorist organizations, including Hamas, are using third-party bank accounts and convertible virtual currency (CVC) to secretly funnel donations from unsuspecting donors.
How It Works
According to the report, Hamas is leveraging money exchangers that have incorporated CVC into their operations to facilitate cross-border transfers. The organization seeks to benefit from the perceived anonymity afforded by certain CVC transactions and the lax regulatory oversight of virtual asset service providers (VASPs) in some high-risk jurisdictions.
Third-Party Bank Accounts Used for Funding
The report also found that Hamas has been using third-party bank accounts in countries such as Lebanon, Qatar, and Turkey to access funds donated to its causes. These donations are then used to fund terrorist activities in the Gaza Strip.
Other Terrorist Organizations Linked to Similar Schemes
In addition to Hamas, other terrorist organizations, including the Houthis, have also been linked to similar fundraising schemes. The Houthis, an Iran-backed Zaidi Islamist movement based in Northern Yemen, have been using CVC and third-party bank accounts to raise funds for their military campaigns.
Call to Action
The report highlights the need for increased vigilance by financial institutions and law enforcement agencies to prevent terrorist organizations from exploiting vulnerabilities in the global financial system.
“It’s crucial that we take action to disrupt these illegal fundraising schemes and prevent terrorists from accessing the funds they need to carry out their attacks,” said a senior official at the Treasury Department. “We will continue to work with our international partners to identify and disrupt these networks, and to ensure that legitimate humanitarian aid can reach those who need it most.”
Conclusion
The report’s findings serve as a reminder of the ongoing threat posed by terrorist organizations and the importance of staying vigilant in the fight against terrorism.