New crypto front emerges in Israel’s fight against funding of Hamas-like groups

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A new front has emerged in Israel’s fight against the funding of groups from Hamas to Hezbollah: A fast-growing crypto network called Tron that until recently attracted less scrutiny than Bitcoin, Reuters reports.

Quicker and cheaper than Bitcoin, the Tron network has overtaken its rival as a platform for crypto transfers associated with groups designated as terror organisations by Israel, the United States and other countries, according to interviews with seven financial crime experts and blockchain investigations specialists.

A Reuters’ analysis of crypto seizures announced by Israeli security services since 2021 reflects the trend, showing for the first time a sharp rise in the targeting of Tron wallets and a fall in Bitcoin wallet seizures.

“Earlier it was Bitcoin and now our data shows that these terrorist organisations tend to increasingly favor Tron,” said Mriganka Pattnaik, CEO of New York-based blockchain analysis firm Merkle Science, citing Tron’s faster transaction times, low fees, and stability.

Merkle Science says it counts law enforcement agencies in the United States, Britain and Singapore as clients.

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