Just In: Senator Cynthia Lummis Calls for Binance and Tether’s Prosecution

Two United States Republican lawmakers, Senator Cynthia Lummis, and Rep. French Hill have requested that leading cryptocurrency exchange Binance and stablecoin Tether be made to face prosecution for their connection with recent terrorism financing.

Justifying Binance Prosecution Request

According to a letter sent to the U.S. Department of Justice (DoJ), Sen. Lummis and Rep. Hill asked the watchdog to “carefully evaluate the extent to which Binance and Tether are providing material support and resources to support terrorism through violations of applicable sanctions laws and the Bank Secrecy Act.” 

These lawmakers further urged the DoJ to conclude its investigation and give a verdict on the criminal charges that links Binance and Tether to the attacks launched on Israel by Palestine-linked military group Hamas. Much more, they have requested that the court’s decision should reflect Binance and Tether’s level of culpability in the case.

Noteworthy, Binance had earlier announced the suspension of over 100 accounts said to be linked with the Hamas military group. Tether also claimed to have blocked digital assets worth over $873,000. This individual move suggests that these firms are cooperating with law enforcement agencies in the fight against crypto terrorism financing. 

Hamas Crypto-Financed Attack on Israel

Hamas recently launched an attack against Israel and it was discovered that the rogue military group was being funded through cryptocurrencies. 

Based on the content of the letter written to Attorney General Merrick Garland, the lawmaker’s letter argued that “Hamas, Palestinian Islamic Jihad and Hezbollah have received funding through crypto assets since August 2021, though subsequent reports have highlighted that the level of funding reported in the article is likely not accurate.” 

The Tether and Binance prosecution request is likely to be considered seeing that it comes from two notable officials who have been known to advocate for crypto regulation. At the same time, these are not the first set of lawmakers that have lent their voice to the abolishment of crypto terrorism financing. 

Last week, a bipartisan group of 105 lawmakers, led by Senators Elizabeth Warren, Roger Marshall, and Representative Sean Casten, urged the White House to take a drastic step towards halting the use of crypto by Hamas and the Palestinian Islamic Jihad.