US Seizes $200K in Crypto Linked to Hamas, Highlights Terror Funding Crackdown

US Seizes $200,000 in Cryptocurrency Linked to Hamas

The US Justice Department has confiscated $201,400 in cryptocurrency and dismantled a network of digital wallets allegedly used to support Hamas. According to the Office of Public Affairs, over $1.5 million in cryptocurrency had been laundered for Hamas since October. The funds were reportedly funneled through at least 17 cryptocurrency addresses provided via an encrypted group chat associated with Hamas.

In the investigation led by the FBI Albuquerque field office, accounts valued at $89,900 and three others totaling $111,500 were seized. These accounts were registered under the names of Palestinians residing in Turkey and other locations. FBI Counterterrorism Division Assistant Director David J. Scott emphasized the importance of disrupting funding mechanisms to weaken terrorist organizations. Interim District of Columbia US Attorney Edward Martin Jr. reiterated that Hamas has been responsible for the deaths of US and Israeli citizens.

"Disrupting funding mechanisms and seizing cryptocurrency from Hamas is one of the FBI’s many tools that we use in the fight against terrorism," said FBI Counterterrorism Division Assistant Director David J. Scott.

In 2023, Binance settled with the US Department of the Treasury, paying over $4 billion for failing to prevent and report transactions linked to Hamas and other terrorist organizations. This highlights the ongoing challenges in combating the misuse of cryptocurrency for illicit activities.

Seized Amount: $201,400 in cryptocurrency
Total Laundered: Over $1.5 million since October
Key Players: FBI Albuquerque field office, US Justice Department

Binance Introduces CEX to DEX Trading

Binance has launched a new feature allowing users to trade directly from centralized exchanges (CEX) to decentralized exchanges (DEX) without the need for asset bridging or manual transfers. This innovation enables customers to use funds from their Binance wallets to execute DEX trades, simplifying the process significantly. Supported stablecoins like Circle’s USDC can now be used to acquire tokens on networks such as Ethereum, Solana, Base, and BNB Smart Chain.

The feature integrates with other Binance tools, including Binance Alpha, which helps users discover emerging tokens, and the Binance quick buy tool. By reducing the complexity of swapping digital assets, Binance aims to address one of the most significant barriers to entry for new users in the crypto space. Pedro Gomes of the WalletConnect Foundation highlighted the importance of minimizing transaction friction and improving interoperability to enhance user experience.

Key Feature: Direct CEX to DEX trading
Supported Networks: Ethereum, Solana, Base, BNB Smart Chain
Goal: Simplify user experience and reduce technical barriers

President Trump Pardons BitMEX Co-Founders

President Donald Trump has reportedly pardoned the three co-founders of the cryptocurrency exchange BitMEX: Arthur Hayes, Benjamin Delo, and Samuel Reed. The trio had previously pleaded guilty to violating the Bank Secrecy Act by failing to implement adequate anti-money laundering protocols. Prosecutors accused BitMEX of operating as a "money laundering platform" by neglecting to verify customer identities and relying solely on email addresses for account registration.

In addition to probation, the co-founders were fined tens of millions of dollars. BitMEX itself pleaded guilty to similar charges in 2022, with US Attorney Damien Williams stating that the exchange posed a serious threat to the integrity of the financial system. The pardons mark a significant development in the ongoing regulatory scrutiny of cryptocurrency platforms.