Al-Qassam Brigades, the military wing of Hamas, has raised $7,400 in bitcoin since it started accepting crypto donations in January of this year and the organization is now experimenting with more complex ways to receive bitcoin, Elliptic researchers have found.
Hamas, which effectively governs the Gaza Strip, is designated a terrorist organization by the US, the European Union and various other countries. While the group initially used a single bitcoin wallet to receive donations, it is now generating a new wallet address for each donation, making it harder for businesses and governments to track how much money Hamas is receiving in bitcoin.
Since Hamas receives millions in donations from Iran each year, the bitcoin donations are so far insignificant for its budget. However, the experiment exposes the dark side of cryptocurrencies, and it may actually lead the group to rely more and more on digital currency for its financial transactions.
Read more: Hamas shifts tactics in bitcoin fundraising, highlighting crypto risks: research
