A subcommittee that examined the terrorist groups and their means of achieving finance for their illicit activity has to report that crypto is a poor money for terrorists.

Fanusie states, “cold hard cash is still king.”

Subcommittee Chairman Steve Pearce (R-NM), stated “Terrorist organizations cannot function without financial resources to organize and carry out their violent actions. Today, I was pleased to hear from experts on the current landscape of global terrorism and how they are funding their operations during a hearing within the Terrorism and Illicit Finance Subcommittee. It is imperative that Congress understand the nature of these threats that are currently facing the nation and the world, in order to do all they can to put an end to these illicit acts.”

The congress concluded that several terrorist groups who have tried to raise funds through crypto did not succeed in their attempts.

Yaya Fanusie, the Director of Analysis for the Foundation for Defense of Democracies (FDD) Center on Sanctions and Illicit Finance, remarked that terrorists in the “jihadist battlefields” cannot use cryptocurrency to buy their goods, they need to pay by making use of fiat currencies.

Fiat money is the most popular money among terrorists and it has been very useful for terrorist funding.

Forbes article acknowledges that “there are multiple examples of terrorist cryptocurrency funding campaigns.”

Yaya Fanusie, Director of Analysis, Center on Sanctions and Illicit Finance, Foundation for Defense Democracies stated, “Terrorist groups regularly adapt their methods to their available resources, skill levels, and the opportunities presented in their target areas of operations. This is as true for financing as it is for plotting attacks. Terrorist organizations have a long history of exploiting banks and other traditional financial institutions, as well as semi-formal means of transferring funds, such as the hawala exchange system. But emerging financial technologies offer new channels to raise and move funds.”

Extreme skill is required when it comes to investigating terrorist financing.  The vigilance department is set to be as adaptive to crypto skills to combat terrorism.

Fanusie also stated “By preparing now for terrorists’ increasing usage of crypto currencies, the U.S. can limit the ability to turn digital currency markets into a sanctuary for illicit finance.”

Major crypto currencies with improved know your customer (KYC) policies have improved on their anti-money laundering systems in place.  Minor crypto exchanges with “privacy coins” and alternative trade tokens who might not have robust KYC policies are to be regulated and most watched in the process.

Lexis Nexis, the major risk management giant joined with Block bid in a way to enable security solution for exchanges.

Lexis Nexis is about, “Trade with Confidence” where their major intention is to prevent terrorism funding along with several other illicit activities.

A Bill that was introduced by TED Bud (R-NC) the House Financial Services Committee, provides rewards for information about terrorism, which eventually will lead to convictions for terrorism that is supported by cryptocurrency.