Philippines Researchers Tracking Cryptocurrency Transactions Done By Local Terrorists

The Philippine Institute for Peace, Violence and Terrorism Research (PIPVTR) has been chasing digital asset transactions done by local terrorists.

A recent report published by the Philip PIPVTR divulges that terrorist groups related to Islamic State in Southeast Asia have lately executed their initial transactions using virtual currencies.

Published on 20th May, the aforementioned report unveiled that the funds are assisting in financing the local terrorist clusters like the Mujahideen Eastern Timur and the Jemaah Ansharut Dalauh in Mindanao.

The aforementioned report detailed the use of digital assets in a money-laundering operation. As per PIPVTR, the operation consisted of 2 parts. During the operation, the channeling of cryptocurrencies was done through anonymous crypto exchanges.

The Philippine Institute for Peace, Violence and Terrorism Research mentioned,

“The second phase refers to an exchange of these crypto assets into fiat money which, then, returns the funds to the legal money cycle. In crypto-only exchanges, cryptocurrencies can be exchanged with one another.”

The report cautions that terrorists in Southeast Asia can trade digital currencies outside the control of supervisory institutions, which further raises apprehensions, given the weak regulatory framework.