In response to the recent invasion of Israel by the terrorist organization Hamas, the world's largest cryptocurrency exchange has reportedly taken a proactive stance by freezing all accounts associated with Hamas.

Terrorist Group Hamas

Hamas, recognised as an Islamist militant movement and one of the prominent political parties within the Palestinian territories, exercises authority over a population exceeding two million Palestinians in the Gaza Strip.

However, the group is primarily renowned for its armed opposition to Israel.

In 7 October 2023, Hamas launched an offensive large scale invasion in southern Israel, resulting in the loss of numerous civilian lives and the capture of numerous soldiers.

In retaliation, Israel has officially declared war against the group, signifying its military's preparations for an extended and sustained campaign aimed at vanquishing Hamas.

This action, executed in partnership between Binance and Israel's cyber unit, was aimed at identifying and seizing multiple accounts that were soliciting donations for the terrorist group.

The precise number of frozen accounts and the total value of cryptocurrency seized remain undisclosed at this time.

Hamas has been historically known to utilise cryptocurrency for fundraising efforts; however, it announced in April that it would discontinue this practice due to growing donor resistance, as reported by Reuters.

Following this announcement, Israeli authorities reportedly seized approximately $1.7 million worth of cryptocurrency from various terrorist groups, including Hezbollah and Quds Force.

Israeli authorities have been actively monitoring cryptocurrency accounts, and they have reportedly seized nearly 200 Binance accounts allegedly linked to terrorist organizations since 2021.

Notably, several of these accounts were connected to Palestinian firms associated with Hamas, according to Reuters.

Hamas has garnered tens of thousands of dollars in funding through cryptocurrency-based methods, as per AMBCrypto reports.

The CEO of Binance, Changpeng Zhao, was involved in a lawsuit brought by the U.S. Commodities Futures and Trading Commission in March.

The lawsuit alleged that Binance officials were cognizant of transactions associated with Hamas on the platform.

Debate on Hamas Funding

Amidst ongoing speculation regarding the funding of the Hamas invasion, U.S. Republicans have repeatedly accused President Joe Biden of facilitating the attack, pointing to his recent decision to release $6 billion in previously frozen Iranian funds in exchange for the release of five detained Americans.

The White House, however, has refuted these accusations, asserting that the released funds remain under tight regulation and can only be used for essential purposes such as food, medicine, and medical equipment.