Justin Sun defends Tron following allegations of facilitating terror financing

Justin Sun, founder of the TRON (TRX) blockchain, defended the network on X (formerly Twitter) on November 27th. post Reuters reports that it is increasingly being used to fund terrorist activities and organizations.

Sun emphasized that, like Bitcoin (BTC) and Ethereum (ETH), Tron’s decentralized structure forms the core of its philosophy. he wrote:

“As we work to combat terrorist financing by integrating a variety of analytical projects and partners, we remain decentralized, ensure everyone’s assets are secure, and provide immediate and affordable Providing a reliable deal at a price is our top priority.”

Sun did not deny the allegations in the post.

Tron is a blockchain network known for its low transaction fees and user-friendly protocol, which is driving its adoption. The platform boasts over 198 million addresses and is particularly widespread in the Middle East and Central Asia.

Terrorist organizations are increasing their use of Tron: Reuters

November 27, Reuters report Tron has attracted attention among terrorist groups due to its quick and cost-effective transactions, and seizures from Tron wallets have increased significantly since 2021.

From July 2021 to October 2023, Israel’s National Counter-Terrorism Financing Service (NBCTF) seized 143 Tron wallets related to terrorist organizations. This year, 87 wallets were seized, accounting for two-thirds of the total seized.

In particular, in June, 39 wallets associated with Hezbollah in Lebanon were seized, and in July, 26 wallets belonging to Islamic Jihad in Palestine were seized. Additionally, approximately 56 Hamas-related wallets were seized.

This further supports the existence of another TRM laboratory. reportnoted that pro-ISIS networks in Tajikistan, Indonesia, Pakistan, and Afghanistan are increasingly using Tether (USDT) on the Tron network to raise funds for their operations.

On November 25th, blockchain intelligence platform ChainArgos also announced identified At least eight Tron wallets have been blacklisted by Tether due to their interactions with Israeli-approved money service providers such as Al Mutahadun and Dubai for Exchange.

Meanwhile, despite this year’s increased attention to the potential role of cryptocurrencies in terrorist financing, prominent industry players such as Coinbase believe that the majority of terrorist financing continues to be carried out in traditional forms such as cash. The emphasis is on the country’s dependence on financial channels.

Coinbase claimed that blockchain technology is helping authorities curb the misuse of cryptocurrencies for terrorist financing.

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