1 year ago
Blockchain forensic steadfast Elliptic says there’s “no evidence” that Hamas is receiving a important measurement of cryptocurrency donations to money its attacks against Israel.
“There is nary grounds to enactment the assertion that Hamas has received important volumes of crypto donations,” Elliptic said successful an Oct. 25 statement. The amounts raised “remain tiny,” the steadfast added.
Elliptic’s statement was framed arsenic a rebuttal to caller articles and letters written by The Wall Street Journal and United States lawmakers, which the steadfast says had misinterpreted information to marque the lawsuit that cryptocurrency is wide utilized to money Hamas’ "terrorist” activities.
As an example, Elliptic pointed to a “prominent” Hamas cryptocurrency fundraising campaign, operated by Gaza Now, a pro-Hamas quality outlet, which has lone raised $21,000 since the Hamas onslaught connected Israel connected Oct. 7.
Of the $21,000 raised, $9,000 was frozen by stablecoin issuer Tether, portion different $2,000 was frozen aft it was sent to a cryptocurrency exchange — presumably to currency out, Elliptic noted.
Setting the grounds consecutive connected crypto crowdfunding by Hamas https://t.co/1tZrE1C43V
— Elliptic (@elliptic) October 25, 2023Elliptic said it reached retired to WSJ to close a connection that initially claimed that implicit $130 cardinal successful cryptocurrency was raised by Hamas and Palestinian Islamic Jihad betwixt Aug. 2021 and June 2023. WSJ aboriginal revised the connection to accidental “as overmuch arsenic $93 million” successful an Oct. 10 update.
The WSJ nonfiction had been cited successful a missive written by Elizabeth Warren and implicit 100 different U.S. lawmakers to the White House and U.S. Department of the Treasury connected Oct. 17.
Warren and different lawmakers argued that cryptocurrency poses a “national information threat” to the U.S. and its allies and that Congress and the Biden medication indispensable instrumentality “strong action” to thoroughly code risks with cryptocurrencies successful facilitating illicit enactment earlier it tin beryllium utilized to concern different “tragedy.”
However, Elliptic reiterated that its information was misinterpreted:
“Over the past 2 weeks, politicians and journalists person portrayed nationalist crypto fundraising arsenic a important root of funds for Hamas and different violent groups, but the information simply does not enactment this.”~20% of US Congress signed a missive based connected incorrect facts. Elliptic conscionable corrected the facts. Will @WSJ & the ~20% of Congress close their statements now?@nic__carter, convey you for demanding information here, and holding powerfulness accountable for misstatements of information https://t.co/TazXQnjjgW
— Caitlin Long ⚡️ (@CaitlinLong_) October 25, 2023On Oct. 18, blockchain forensics steadfast Chainalysis also posted a blog attempting to code expected misconceptions circulating successful the media. One peculiar wallet highlighted by media reportedly received $82 cardinal crossed 7 and a fractional months, but Chainalysis explained that of that, lone $450,000 was transferred to a known terror-affiliated wallet.
Meanwhile, Elliptic besides noted that successful April 2023, Hamas suspended cryptocurrency fundraising conducted done Bitcoin (BTC), citing a “concern astir the information of donors and to spare them immoderate harm.”
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In 2021, Israel’s National Bureau for Counter Terror Financing besides began issuing seizure orders for cryptocurrency wallets tied to Hamas and worked with exchanges to frost accounts utilized by them.
These events suggest cryptocurrency isn’t an perfect means to facilitate coercion fundraising, Elliptic argued:
“This illustrates the weakness of crypto arsenic a coercion fundraising tool. The transparency of the blockchain allows illicit funds to beryllium traced, and successful immoderate cases linked to real-world identities.”Cointelegraph reached retired to WSJ for remark but did not person an contiguous response.
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