Binance's alleged seizure of Palestinian crypto funds sparks fury

By Gokhan Ergocun

ISTANBUL (AA) - Cryptocurrency giant Binance has been accused of seizing funds from Palestinian users at the request of the Israel Defense Forces (IDF).

Ray Youssef, CEO of the Bitcoin marketplace platform Noonesapp, made the allegation on the social media platform X, stating, "Binance has seized all funds from all Palestinians as per the request of the IDF. They refuse to return the funds. All appeals denied."

In response to the accusations, a Binance spokesperson told Anadolu that the claims were inaccurate. The spokesperson clarified that only a limited number of user accounts, which were linked to "illicit funds," were impacted and prevented from transacting. However, Binance did not specify the extent or value of the "illicit funds" involved.

"As a global crypto exchange, we comply with internationally accepted anti-money laundering legislation, just like any other financial institution," Binance added.

The situation comes amid the ongoing conflict in Gaza, where, according to local health authorities, more than 40,500 Palestinians have been killed, and over 92,700 others injured. The Israeli war, now more than ten months in, has left large areas of Gaza in ruins under a severe blockade that has restricted access to food, clean water, and medicine.

Israel is currently facing accusations of genocide at the International Court of Justice, which has ordered a halt to military operations in the southern city of Rafah, where over one million Palestinians sought refuge before the area was invaded on May 6.