Sen. Warren, 100+ legislators write White House, Treasury about crypto and terrorism
Senator Elizabeth Warren was the lead author of a letter signed by 28 other senators and 76 members of the House of Representatives about the role of cryptocurrency in financing terrorism. Signers came from both parties and included one independent, although Democrats predominate.
The letter, dated Oct. 17, was addressed to Treasury Under Secretary for Terrorism and Financial Intelligence Brian Nelson and National Security Advisor Jake Sullivan. The authors cited a news article that claimed Hamas and the Palestinian Islamic Jihad raised over $130 million in crypto donations between August 2021 and June 2023, and very little of the donated money had been recovered. The letter said:
“That the deadly attack by Hamas on Israeli civilians comes as the group has become ‘one of the most sophisticated crypto users in the terror-finance domain’ clarifies the national security threat crypto poses to the U.S., and our allies.”
It continued: “As Congress considers legislative proposals designed to mitigate crypto money laundering and illicit finance risks, we urge you to swiftly and categorically act to meaningfully curtail illicit crypto activity.” It then posed nine questions to the addressees, asking about the information the administration of President Joe Biden has about the funders of terrorism, what is being done about the use of crypto to finance terrorism, and what other resources the administration needs.
Related: Coinbase lobbying efforts face setback from Hamas’ crypto use: Berenberg analysts
Warren is one of the most prominent crypto opponents in the U.S. Congress. She introduced the Digital Asset Anti-Money Laundering Act in December and reintroduced it in the current Congress . The bill was picking up support before the beginning of the conflict between Israel and Hamas, but the current hostilities have gained her allies.
"US Treasury sanctions Gaza-based crypto operator allegedly tied to Hamas. Find out how terrorist organizations used Buy Cash Money for fund transfers. Stay informed and read more on Cointelegraph: https://t.co/j1IhVDNU3o #DYOR @HRM69INU"
— Blackhat ™ (@blackhat_TM) October 18, 2023
The letter has signatures from other active anti-crypto legislators, such as Roger Marshall and Sean Casten. Senate Banking Committee Chair Sherrod Brown, who has called for crypto regulation but did not support Warren’s bill, also signed the letter. Crypto advocates Cynthia Lummis, Kirsten Gillibrand and Patrick McHenry did not sign the letter, but many signers had no prior record on crypto. Signers Jake Auchincloss and Josh Gottheimer had previous pro-crypto voting records.
Nelson's remarks on Hamas' financing. Source: U.S. Treasury DepartmentThe Treasury Department released Nelson’s remarks prepared for a Deloitte Anti-Money Laundering conference on Oct. 17. Nelson said Hamas was “uniquely resourced” and “possesses well-honed methods of surreptitiously accessing the formal financial system.” Nelson referred to secret financial portfolios, shell companies, fake philanthropies and racketeering. In addition:
“We are closely monitoring how Hamas and Palestinian Islamic Jihad (PIJ) use virtual assets to raise and move funds […] and Treasury will continue to establish transparency in the virtual asset ecosystem in order to combat illicit activity by criminals, rogue states, and terrorist financiers.”
In addition, the Treasury’s Office of Foreign Assets Control announced sanctions against a “Gaza-based virtual currency exchange and its operator,” along with a number of other Hamas collaborators on Oct. 18.
Magazine: Rogue states dodge economic sanctions, but is crypto in the wrong?
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
You may also like
Ex-Goldman Sachs Exec Shares Positive Outlook on XRP Amid Legal Challenges
Cardano Hits $1 for the First Time in Two Years, Signaling Strong Market Momentum
XRP Soars as Ripple CEO Applauds Trump’s Treasury Secretary Nominee
Trump and Wall Street: How long will the love affair last?
Share link:In this post: Wall Street loved Trump’s win at first—stocks jumped, Bitcoin soared, and borrowing costs hit rock bottom, but some sectors started cracking fast. Tax cuts and deregulation made financial and energy stocks shoot up, but tariffs and plans to deport workers freaked out economists and markets. Tariffs mean higher prices for Americans, and even Walmart’s warning it’ll have to raise prices if Trump pushes through with his trade war.