OFAC designated three financial facilitators and six money service businesses on June 22 for moving funds to ISIS and its West Africa affiliate.The network allegedly used crypto transfers, hawala systems, and bureaus de change to shift money across Europe, the Middle East, and West\u00a0Africa.Regulators identified specific TRON wallet addresses signalling growing precision in how authorities pursue crypto-linked financial crime.<\/p>\n
The US Treasury\u2019s Office of Foreign Assets Control (OFAC) has sanctioned three individuals and six entities for allegedly routing cryptocurrency to ISIS. They targeted a geographically dispersed financial network spanning Syria, Turkey, France, and\u00a0Nigeria.<\/p>\n
OFAC has sanctioned three people and six entities for facilitating financial transactions for ISIS. The sanction aims to disrupt activity across an ISIS-linked financial network that used hawaladars<\/a>, money service businesses (MSBs), and cryptocurrency to move funds across Europe, the Middle East, and West\u00a0Africa.<\/p>\n The entities affected by the sanction include a Bitcoin Exchange based in Syria, two money services firms based in Turkiye, and three Nigerian currency bureaus. The management and the individuals who own or operate these entities are also affected by the sanctions.<\/p>\n The Syria-based exchange, called Bitcoin Xchange, sits at the centre of the Syria-to-Europe pipeline. It was launched in late 2020 and is operated by Abdelhakim Boukich, a former Dutch national now based in\u00a0Syria.<\/p>\n According to the US Treasury, Boukich and Bitcoin Xchange<\/a> transferred money on behalf of ISIS associates from multiple countries, including Norway, Belgium, the Netherlands, South Africa, and the United\u00a0States.<\/p>\n OFAC also sanctioned two Turkish MSBs, Spider Gayrimenkul Ve Genel Ticaret Limited Sirketi (Spider) and Alkaram Danismanlik Gayrimenkul Ic Ve Dis Genel Ticaret Limited Sirketi (Alkaram).<\/p>\n Both are owned and controlled by Mohamad Alhmidan<\/a>, previously designated by OFAC in March 2016. Spider began as a hawala operating in Syria. It was used to transfer money from ISIS-controlled territories in Syria to other\u00a0regions.<\/p>\n Three bureaus de change in Nigeria, located in Lagos and Kano, were also sanctioned. Nine to Nine Exchange Bureau de Change, Manhattan Bureau de Change, and Generation Currency Bureau de Change are now on the SDN\u00a0list.<\/p>\n Mkhtar Adamu Muhammad owns or operates all three entities and is considered a financial facilitator for ISWAP. He is now on the SDN\u00a0list.<\/p>\n OFAC has identified two TRON wallet addresses<\/a> linked to Miloud Abderrahmane. Abderrahmane is a French national designated for conducting transactions with ISIS affiliates.<\/p>\n According to the US Treasury, he also provided ISIS supporters with instructional and manufacturing information on building explosives.<\/p>\n The two TRON addresses, TBXMiRqUp1XH1zLazWu8cWitMAScv4HsYq and TDFj8tYzfLDkwEMo4MJ2DfrbpMztuCCnan, are now on the SDN\u00a0list.<\/p>\n Chainalysis Reactor graph analysis shows transactions<\/a> from mainstream wallets to Abderrahmane\u2019s wallet, and from his wallet to wallets used in Syria- and Gaza-based donation campaigns.<\/p>\n The network combined traditional informal value transfer systems with public blockchain infrastructure.<\/p>\n Hawala networks moved money out of ISIS-controlled territory; money service businesses provided cover for cross-border flows; and TRON wallets facilitated transfers to affiliated recipients.<\/p>\n This action is part of a clear enforcement pattern. In recent years, OFAC has sanctioned Hamas-linked crypto wallets<\/a>, including a Gaza-based virtual currency exchange and its operator.<\/p>\n Earlier this month, it also sanctioned<\/a> four Iranian exchanges, including Nobitex, its founders, Amir Hossein Rad, Ali Aghamir, Mohammed Aghamir, and its CEO, Eyed Ali Khoee. Other Iranian exchanges sanctioned include Wallex, Bitpin, and Ramzinex.<\/p>\n In August 2022, OPAC sanctioned the Tornado Cash mixing protocol, alleging it had laundered over $7 billion in virtual currency since 2019. Funds, they say, include over $455 million stolen by the Lazarus\u00a0Group.<\/p>\n Taken together, these cases show a regulatory approach that has evolved from targeting individual wallets to dismantling entire financial ecosystems. These ecosystems include exchanges, OTC desks, money service businesses, facilitators, and on- and off-ramp providers.<\/p>\n Treasury\u2019s 2026 National Terrorist Financing Risk Assessment<\/a> noted that sustained pressure from counterterrorism forces has pushed ISIS toward more decentralised cells and reliance on regional facilitators, such as the recently executed Abu-Bilal Al-Minuki <\/a>of\u00a0ISWAP.<\/p>\n The current sanctions, therefore, seem to target the facilitators instead of the technology.<\/p>\n The inclusion of three Nigerian bureaux de change in a major OFAC action will resonate across the African fintech and crypto\u00a0sectors.<\/p>\n Exchanges and payment firms operating cross-border flows, especially those handling transactions with counterparties in conflict-affected regions, should expect heightened scrutiny.<\/p>\n KYC requirements, transaction monitoring obligations, and sanctions screening will all come under greater focus. Correspondent banking relationships, already fragile for many African fintechs, are likely to face tighter conditions<\/a> as international banks seek assurance of AML controls.<\/p>\n A counterintuitive upside could arise here for firms with well-developed compliance infrastructure<\/a>. Stricter enforcement could create a cleaner regulatory environment, boosting institutional investors\u2019 confidence. Governments gain visibility, and licensed operators gain a competitive advantage over those cutting\u00a0corners.<\/p>\n Global exchanges and financial institutions will need to make immediate updates to their sanctions screening and transaction monitoring protocols.<\/p>\n African firms with international operations or correspondent relationships should treat this as a prompt to audit their exposure.<\/p>\n Many people are drawn to cryptocurrency because of decentralisation and anonymity. One perception that has arisen about cryptocurrency is that it enables anonymous crime.<\/p>\n While in some cases, it unfortunately does<\/a>, this case and the sanctions thereof illustrate the opposite. Times are changing; crypto leaves a\u00a0trail.<\/p>\n The identification of specific TRON wallets makes this one of the comparatively rare OFAC actions targeting individual wallets rather than exchanges or custodians.<\/p>\n That level of precision is only possible because public blockchains are transparent by design. It also emphasises the need for blockchain analytics capacity to trace funds and identify downstream exposure.<\/p>\n Firms like Chainalysis<\/a>, TRM Labs<\/a>, and Elliptic<\/a> have built sophisticated tools that allow investigators to follow funds across wallets, exchanges, and\u00a0borders.<\/p>\n This enforcement action is a useful marker of where crypto regulation stands in 2026. Crypto regulation worldwide is evolving. African governments have taken credible steps towards a broader regulatory infrastructure<\/a> in\u00a02026.<\/p>\n Authorities are applying the same financial-crime frameworks used for banks, money-transfer operators, and currency exchanges with increasing sophistication and geographic reach.<\/p>\n Compliance, licensing, and transaction monitoring are now critical for crypto businesses across Africa. They provide credibility and are the foundation for legitimate market participation.<\/p>\n Originally published at <\/em>https:\/\/cryptoafrica.news<\/em><\/a> on June 23,\u00a02026.<\/em><\/p>\n US Treasury Sanctions Crypto Network, Including a Nigerian Facilitator Accused of Moving Funds to\u2026<\/a> was originally published in Coinmonks<\/a> on Medium, where people are continuing the conversation by highlighting and responding to this story.<\/p>","protected":false},"excerpt":{"rendered":" US Treasury Sanctions Crypto Network, Including a Nigerian Facilitator Accused of Moving Funds to\u00a0ISIS OFAC designated three financial facilitators and six money service businesses on June 22 for moving funds to ISIS and its West Africa affiliate.The network allegedly used crypto transfers, hawala systems, and bureaus de change to shift money across Europe, the Middle […]<\/p>\n","protected":false},"author":0,"featured_media":185828,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[2],"tags":[],"class_list":["post-185827","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-interesting"],"_links":{"self":[{"href":"https:\/\/mycryptomania.com\/index.php?rest_route=\/wp\/v2\/posts\/185827"}],"collection":[{"href":"https:\/\/mycryptomania.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/mycryptomania.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"replies":[{"embeddable":true,"href":"https:\/\/mycryptomania.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=185827"}],"version-history":[{"count":0,"href":"https:\/\/mycryptomania.com\/index.php?rest_route=\/wp\/v2\/posts\/185827\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/mycryptomania.com\/index.php?rest_route=\/wp\/v2\/media\/185828"}],"wp:attachment":[{"href":"https:\/\/mycryptomania.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=185827"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/mycryptomania.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=185827"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/mycryptomania.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=185827"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}How Crypto Was Allegedly Used<\/h3>\n
The New Enforcement Playbook<\/h3>\n
What This Means for African Crypto Businesses<\/h3>\n
Crypto Leaves a\u00a0Trail<\/h3>\n
Crypto Regulation Is Maturing\u00a0Globally<\/h3>\n