Terrorist Utilizing Bitcoin To Boost Funding?
Bitcoin which is famous as a digital currency is being used by various terrorist outfit for funding their unlawful activities. A former counterterrorism analyst for the CIA has said in an interview that they have founded that terrorists are utilizing the BTC network technologies to boost their funding which is becoming a major threat to the world these days.
Views of the CISF
Yaya Fanusie who is the director of analysis for the foundation for Defence of Democratic Centre on Sanctions and Illicit Finance(CISF) had written The Cipher Brief. According to him, The Ibn Taymiyya Media Centre(ITMC) which is basically a Jihadist propaganda unit has been continuously using social media to use bitcoins for fundraising. They have not used much digital currency means they are experimenting with the same to expand the funding.
Views of the US state department
US state department basically considers ITMC which is the media wing of the Mujahedeen Shura Council in the Environs of Jerusalem(MSC) as the supporter of the Islamic State(IS).
How Bitcoins are used for terrorist Fundraising
It is said that ITMC’s online campaign began in July, 2015 which led the followers to use the platform Telegram and in June, 2016 the option to pay in Bitcoin was added in it. About $2,500 was raised for each fighter and according to the Fanusie this organization had received about 0.929 BTC from all their transactions. He also believed that the organizers had used it to test the Bitcoin address.
Blockchain helps to track the movements
Bitcoins are basically used as an anonymous but its distributed technology ledger blockchain has the advantage to track all the fund transactions and to find vital connections. So the security factor almost gets protected as even if ITMC continues to request their funding through Bitcoin, people will ultimately hesitant due to the Blokchain’s tracking abilities.
Illegal activities through bitcoin are not totally protected by the blockchain even though the US law enforcement engages with the Blockchain Alliance. Also the efforts by the Fintech does not help to combat with the criminal activities. It is suggested by the Fanusie that forums and darknet websites should initiate watchdog groups to track all the illegal bitcoin transactions, so the bitcoin network will finally be protected.