Man Found Guilty of Supporting ISIS Through Cryptocurrency

Virginia’s Mohammed Azharuddin Chhipa has been convicted for utilizing cryptocurrency to fund ISIS, grabbing national attention.

At a Glance

Mohammed Azharuddin Chhipa was convicted for providing material support to ISIS.
Chhipa sent over $185,000 in cryptocurrency to Syria.
He faces a maximum of 20 years in prison per count.
The FBI found explosive materials in Chhipa’s home.

The Conviction and Operations

Mohammed Azharuddin Chhipa, a 35-year-old resident of Springfield, Virginia, was convicted for providing material support to ISIS through a sophisticated crypto operation. Authorities discovered that from October 2019 to October 2022, Chhipa sent money to back ISIS fighters and aid female members in escaping prison camps, leveraging social media for funds and converting these contributions into cryptocurrency. He then orchestrated the transfer of these digital assets to Turkey, which facilitated the smuggling of funds to Syria for ISIS.

This operation saw over $185,000 sent to Syria. Highlighting the international collaboration required to fund such terrorist activities, Chhipa’s co-conspirator, a British-born ISIS member, was involved in financing prison escapes and terrorist operations.

Sentencing and Legal Proceedings

Chhipa was found guilty on one count of conspiracy and four counts of providing material support to a terrorist organization, each carrying a potential 20-year sentence. Sentencing is set for May 5, 2025. Throughout the trial, his defense claimed entrapment, arguing that he was manipulated by the FBI as a lonely individual. However, prosecutors highlighted his substantial financial contributions to ISIS.

The FBI discovered explosive materials during their investigation and engaged Chhipa via undercover agents about his scheme. The prosecution underscored his deliberate actions rather than any manipulation, and the significant impact of his financial operations.

A Virginia man accused of funneling tens of thousands of dollars to ISIS is on trial in a federal court in Alexandria, with prosecutors alleging he used cryptocurrency to support the terrorist organization. https://t.co/DTrnxfZ6WL

— FOX 5 NY (@fox5ny) December 11, 2024

Impact and Implications

This case sheds light on the methodologies employed by terrorist groups to employ cryptocurrency for their financing, despite most funds channeled through traditional methods. This conviction demonstrates the capability of blockchain analytics to trace and intercept such illicit transactions, reaffirming how government agencies successfully thwarted a sophisticated funding operation to support terrorism.