Australian Minister Says Terrorists Use Cryptocurrency to Fund Crime

The Australian Minister of Home Affairs, Peter Dutton, says that terrorists use cryptocurrency to fund their deadly missions.

07 November 2019, AtoZMarkets –  Peter Dutton has warned that terrorists exploit cryptographic currencies to finance their dangerous missions. According to him, the anonymity of online currencies allows extremists to escape scrutiny. The anonymity offered by these technologies allows terrorist financiers to obscure their activities. He said that at a conference on counterterrorism held Thursday in Melbourne.

Terrorists Use Cryptocurrency

The increasing use of digital and cryptographic currencies, stored value cards, online payment systems, and crowdfunding platforms offer new ways to finance terrorism. Now cryptocurrency can withdraw from ATM. He said countries must stay ahead of new funding measures. However, terrorists continue to use traditional methods, such as ransoms and fraudulent charities.

He called on Australian private lenders to join the fight. He also claimed that nations needed the expertise of outside governments. Charities and non-profit organizations also need to be scrutinized. Since they have become popular channels for terrorist financing. In many cases, not-for-profit organizations do not even know they are being used.

He highlighted the work of AUSTRAC (Australia’s anti-money laundering watchdog) in the Indo-Pacific. It is still fighting ISIS and al-Qaeda terror groups. The minister also equated Islamist extremism and far-right extremism with environmental radicalism.

Read More: Russia Plans Legal Mechanism to Tackle Cryptocurrency Fraud

Cryptocurrencies Could Become The Next Frontier

In September, at the 19th Annual International Conference on Countering Terrorism, US Treasury Undersecretary Sigal Mandelker said cryptocurrencies could become the next frontier in the war on terror. She noted that Terrorist organizations, their supporters, and supporters are continually looking for new ways to collect and transfer funds without the police detecting or tracking them. But most terrorist groups still depend on mainly from the traditional financial system and cash to transfer funds, without the proper safeguards. Cryptocurrency could become the next frontier.

Earlier in June, Philippine central bank governor Benjamin Diokno issued similar warnings. And he noted that the Bangko Sentral ng Pilipinas (BSP) would continue to monitor their cryptocurrency use in the country closely. Furthermore, in September, Philippines police raids Cyptocurrency scam firm.

Since 2017, BSP has required domestic crypto exchanges to register as transfer and remittance companies. And put in place specific protection measures covering the fight against money laundering, risk management, and consumer protection.

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