A group of 105 bipartisan US lawmakers led by Senators Elizabeth Warren (D-MA) and Sherrod Brown (D-OH) have addressed a letter to President Biden’s top advisors, seeking clarity on cryptocurrency’s involvement in recent attacks on Israel.
The legislators are pushing for answers on how cryptocurrency may have sponsored recent attacks by the militant group Hamas on Israel. They are also questioning the White House’s plans to combat future crypto-financed terrorism.
The narrative that crypto played a crucial role in the recent attacks, which led to over 1,000 Israeli deaths and at least 150 kidnappings, as per Israeli government, has been gaining momentum in Washington.
Hamas, controlling the Gaza Strip, has been using cryptocurrency for fundraising since 2019. However, the role of crypto in the ongoing Israel-Palestine crisis is being challenged. Ari Redbord, Global Head of Policy at TRM Labs, a company that tracks crypto-related crime, commented, “Crypto makes up a very, very small part of a much larger fundraising picture when it comes to Hamas.”
Since the outbreak of violence in Israel on October 7, only a “relatively small” amount of cryptocurrency has been raised by Hamas or its supporting groups, according to Redbord.
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