The Truth About Crypto and Terrorism Financing

The Wall Street Journal (WSJ) has issued a partial correction to an article that mischaracterized the extent of Hamas and other militant groups' cryptocurrency funding for terrorist activities. The article initially claimed that Palestinian Islamic Jihad (PIJ) raised $93 million in crypto between August 2021 and June 2023, but blockchain forensics firm Elliptic clarified that only $450,000 was sent to a known terrorism-affiliated wallet. The WSJ's correction stated that PIJ and Hezbollah may have exchanged up to $12 million in cryptocurrency since 2021. Elliptic welcomed the corrections but called for more specificity. The WSJ's misinterpreted data was also cited in a letter by U.S. Senator Elizabeth Warren, prompting calls for a retraction.