Many bitcoin and crypto critics have been associating bitcoin with scams, money laundering, and terrorist funding. All these illicit activities seem to exist even before the inception of bitcoin in 2009. However, governments and regulators believe their association with crypto is very high due to the anonymity of crypto transactions.

A US national has been sentenced to 13 years’ imprisonment on charges of terrorist funding with bitcoin and other crypto. According to an announcement by the US Department of Justice (DoJ), Zoobia Shahnaz, a New York resident was sentenced to 13 years in jail for her role in terrorist funding using cryptocurrency.

The DoJ alleged that Shahnaz defrauded several banks to obtain money for ISIS terrorist group during March – July 2017. It claims Shahnaz obtained more than a dozen credit cards and used them to buy about $62,000 worth of crypto.

According to the announcement, Shahnaz then went on to make multiple wire transfers worth over $150,000 to individuals and companies in China, Pakistan and Turkey that were fronts for ISIS. She was indicted back in December 2017 and pleaded guilty a year after in November 2018. Shahnaz admitted that she defrauded banks and funded the ISIS terror organization.