The move has left millions of dollars frozen while regulators investigate transactions
Argentina has frozen several cryptocurrency wallets following concerns about their possible links to international terrorism financing. The country’s Financial Information Unit (UIF), which oversees money laundering and anti-terrorism operations, initiated the move after detecting suspicious transactions involving national crypto exchanges. Authorities believe these wallets may be tied to Hay’et Tahrir Al-Sham (HTS), a Syrian militant group with a known history of terrorism.
The UIF identified two individuals in connection with the case—a Russian national currently living in Argentina and another foreign person flagged by US and Israeli authorities. Both are suspected of helping facilitate the movement of funds on behalf of HTS. Although the US Department of State recently removed HTS from its official list of Foreign Terrorist Organizations, the group remains classified as a terrorist threat by other international bodies.
Argentina’s response stems from its obligations under the Financial Action Task Force (FATF), which mandates action when international terrorism financing is suspected. A federal judge approved the freeze following tips from both domestic and international intelligence sources. The freeze applies to any known crypto wallets linked to the suspects and prevents any movement of digital funds while the investigation continues.
Local sources involved in the matter stated that this is the initial step in what is expected to be a broader inquiry. Investigators are now analyzing transaction histories to trace additional wallets and possibly identify other groups or individuals tied to criminal activity.
This development in Argentina comes shortly after a similar action in the US. Just a week earlier, the US Department of Justice and the US Attorney’s Office for the District of Columbia announced a civil forfeiture case involving about $2 million in digital assets.
Those funds, held in Tether and Binance accounts, were allegedly connected to Buy Cash Money and Money Transfer Company, a Gaza-based business accused of financially supporting Hamas.
