According to ChainCatcher, reported by News.bitcoin, a South African law enforcement agency recently arrested a 35-year-old man who is suspected of using cryptocurrency to finance terrorist activities. The investigation was launched in May 2018 when the Financial Intelligence Centre (FIC) and the investigation team received information about suspicious transactions related to terrorism financing.
According to reports, on November 30, 2017, the suspect purchased Bitcoin worth $614 through the virtual asset service provider Luno and transferred the funds from the suspect's bank account to Luno's custody account. Subsequently, the Bitcoin was transferred to another wallet associated with an unnamed 'independent' organization.
South African law enforcement agencies have stated that preliminary investigations indicate that the funds were transferred to provide weapons, economic assistance, and other projects to 'participants' in another country. After determining the use of the funds, South African law enforcement executed a search warrant on October 24 at the suspect's residence, seizing several items, including firearms that were not locked away in a secure place as required by law. The man is expected to appear in the Lichtenburg Magistrate's Court on January 6.
