- U.S. Senator Elizabeth Warren raises concerns over cryptocurrency mining operations in Iran, alleging they fund terrorist organizations.
- Warren and Senator Angus King have penned an open letter to the Biden Administration, questioning its efforts to combat Iran’s evasion of sanctions through crypto mining.
- The senators claim that Iran has raised millions through crypto mining since legalizing the industry in 2019, posing a threat to national security.
U.S. Senator Elizabeth Warren raises concerns over Iran’s cryptocurrency mining operations, alleging they fund terrorism. The senator seeks answers from the Biden Administration on this pressing national security issue.
Senators Warn of Iran’s Crypto Mining Operations
U.S. Senator Elizabeth Warren and Senator Angus King have raised concerns over cryptocurrency mining operations in Iran. They claim these operations are financing Hamas and other terrorist groups worldwide. In an open letter to the Biden Administration, the senators have asked the secretaries of Defense and Treasury, along with the White House National Security Advisor, about the administration’s efforts to combat Iran’s evasion of U.S. and international sanctions through cryptocurrency mining.
Iran’s Crypto Mining Industry: A Revenue Source for Terrorism?
“Iran legalized the crypto mining industry in 2019,” Warren and King wrote. “In the five years since, Iran has raised millions of dollars through mining crypto… a steady revenue source that allows it to purchase imports, move funds domestically and internationally, and fund Hamas and other terrorist organizations.“ The senators warn that this ongoing activity by the Iranian government threatens national security. They also cite an April 2022 International Monetary Fund (IMF) report, which states that energy-intensive blockchains like Bitcoin can allow countries to monetize energy resources, some of which cannot be exported due to sanctions.
Questions for the Biden Administration
The senators have posed several questions to the Biden Administration regarding Iran’s cryptocurrency activities. They seek to know how much revenue Iranian crypto miners have generated since 2021, what share is collected by the government or its affiliates, and to what extent these funds support terrorism or military activities. They also want to know what the administration has been doing to address the national security threats posed by Iran’s alleged sanction-evading crypto activity.
Conclusion
This latest move by Senator Warren is part of her ongoing campaign to fight the use of cryptocurrency in illicit activities. The senator has previously called for the Bank Secrecy Act to be updated to address the “threat” of crypto, claiming that North Korea is using cryptocurrency to fund its nuclear weapons program. The answers to the questions posed by the senators to the Biden Administration could shape the future of crypto regulation and national security policies.
