Groups associated with the terrorist organization Islamic State of Iraq and the Levant (ISIL) in various Asian countries started to actively use cryptocurrencies to finance their operations. The preferred asset for terrorists is the stablecoin Tether (USDT) on the Tron network.
Analysts from blockchain platform TRM Labs published a report highlighting the increasing use of crypto by ISIL-affiliated terrorist groups in Tajikistan, Pakistan, Indonesia, and Afghanistan.
The report indicates that supporters of the terrorist organization in Asia have been actively using cryptocurrencies to facilitate their operations over the past twelve months:
- In Tajikistan, cryptocurrencies are used to recruit militants. Over the course of a year, ISIL’s affiliate in Tajikistan (IST) used about $2 million in crypto for this purpose.
- In Indonesia, cryptocurrencies are used to provide material assistance to freed ISIL families held in Syrian camps. Over $517,000 worth of digital assets were sent during the year.
- In Pakistan, cryptocurrencies are used to collect donations. ISIL’s affiliate in Pakistan (ISPP) collected about $40,000 in digital archives during the year, allegedly for the needs of survivors of the earthquake in Turkey.
- In Afghanistan, terrorists use cryptocurrency to raise funds from supporters. ISIL’s affiliate in Afghanistan (ISKP) received about $10,000 in digital assets through various crypto wallets over the year.
The report also stated that most of the transactions related to the activities of terrorist organizations in Asia were made using Tether on the Tron network. Thus, about 92% of financial transactions of ISIL-affiliated groups were made in USDT.
Studies showed that cybercriminals were less likely to use BTC in their activities due to the increased interest in Bitcoin on the part of regulators and the growth of its technical protection.
