US Sanctions French Charities for Alleged Crypto Funds to Hamas

The US Treasury Department has imposed sanctions on two French charities and three individuals, accusing them of facilitating cryptocurrency transfers to Hamas. The Office of Foreign Assets Control (OFAC) added the names to its sanctions list on October 2, targeting Association Baraka, Ensemble C Mieux, and individuals Faouzi Barika, Amel Oualid, and Saleem Abdallah Saleem al-Zaq.

According to the Treasury, Barika and Oualid, based in France, sent hundreds of thousands of dollars in cryptocurrency to al-Zaq, a Gaza-based deputy battalion commander in Hamas’ military wing. The network allegedly raised over $2 million for Hamas between 2020 and 2026, though not all of it was moved through digital assets.

US crypto firms are now required to block any assets tied to the sanctioned parties and report them within 10 business days. Foreign financial institutions could face secondary sanctions for knowingly aiding the network. The sanctions apply to companies owned 50% or more by blocked persons, expanding the scope of compliance efforts.

Crypto firms must deny access to frozen assets and report them annually. The Treasury warned that enforcement will depend on jurisdiction, ownership, and knowledge of transactions. The move has sparked attention from crypto exchanges, which are monitoring for additional wallet addresses or entities linked to the fundraising operation.