ISIS’s Crypto Adoption
Despite losing territory, ISIS continues to fund its operations through affiliates, especially in Africa. The group still has millions of dollars in assets and its Somali branch has generated significant revenue.
US Countermeasures
The US and other countries have formed the Counter ISIS Finance Group to combat illicit financing. Binance, a major crypto exchange, recently settled with the US for failing to prevent terrorist organizations from using its platform.
Tether’s Role
Tether, a stablecoin issuer, has assisted the US in combating illicit activities. It has frozen millions of dollars worth of USDT tokens linked to criminal organizations.
Transparency and Traceability
Tether’s public blockchains allow law enforcement to track transactions and seize assets associated with crime. The company emphasizes its transparency and cooperation with authorities.
Combatting Criminal Use
Tether has frozen over $300 million in recent months and partnered with Chainalysis to monitor secondary markets. Its CEO, Paolo Ardoino, highlights the difficulties of using Tether for illegal activities.
Collaboration and Regulation
The rise in terrorist groups’ use of cryptocurrencies requires collaboration between stablecoin issuers and regulatory authorities. This is crucial for maintaining the integrity of the crypto ecosystem and combating illicit financing.
