- Since 2021, 190 Binance accounts linked to Islamic terrorist organisations have been seized by Israeli authorities, according to Reuters on May 4.
- Confiscated Binance cryptocurrency accounts are related to three Palestinian currency exchange firms that Israel has classified as “terrorist organisations.”
- It is unknown how much cryptocurrency was confiscated and whether other exchanges were also kept an eye on.
The Israeli authorities have terminated dozens of cryptocurrency accounts on one of the biggest sites for the digital currency after identifying them as questionable.
Nearly 190 Binance accounts connected to terrorist organisations are seized by Israel, underscoring the importance of strict compliance and close cooperation between crypto exchanges and law enforcement to stop illegal activity.
One of the biggest cryptocurrency exchanges in the world, Binance has become a target for criminal activity due to its widespread usage. The Israeli authorities have been keeping an eye on Binance accounts for a while, and starting in 2021, they started taking action on accounts they believed to have ties to terrorism.
In accordance with the records, the NBCTF seized an undisclosed sum of cryptocurrency from two accounts in January that were allegedly connected to the terrorist organisation Daesh, which has bases in Syria and Iraq. More than 100 of the seized Binance accounts are allegedly linked to Hamas, an armed Palestinian organisation that frequently engages in conflict with the Israeli Defence Forces, according to other government documents dating as far back as 2021.
Binance responded and said Reuters was accused of “deliberately leaving out critical facts to fit their narrative.” It said that the company’s top priorities continue to be fighting money laundering and deterring terrorist attacks.
Binance emphasised that it went above and beyond what other exchanges were doing to keep dishonest people off its site. The exchange claimed,
The real indicators of compliance for a cryptocurrency exchange are the procedures it takes to spot and respond to questionable deposits, and in these areas, Binance is a leader in the sector.
“When we become aware of inappropriate behaviour, we step in and take the necessary measures, such as freezing funds and collaborating with law police to aid investigations.“
It is significant to note that the news was released shortly after the US Department of Justice (DOJ) announced that it was investigating possible violations of Russian sanctions at Binance Holding.
For quite some time, regulators have urged stronger regulations on cryptocurrency exchanges to prevent criminal activity like laundering funds and terrorism financing. The National Bureau for Counter-Terror Financing in Israel’s seizures show how governments are going after cryptocurrency companies to stop illicit behaviour.