A federal judge has imposed a sentence of 30 years and four months on Mohammed Azharuddin Chhipa. On May 9, the Department of Justice revealed that Chhipa facilitated the transfer of over $185,000 in cryptocurrency to agents linked to the Islamic State.
His activities spanned from October 2019 until October 2022. Funds he gathered were sent online and through in-person transactions, subsequently converted into cryptocurrency, and passed on to operatives in Turkey.
Financing ISIS
Reports indicate that Chhipa’s wire transfers were substantial, totaling over $185,000 across three years. This money was used to cover salaries for ISIS fighters. Additionally, some funds facilitated the escape of female inmates from prison. He utilized commonplace tools—like phones and email—to integrate into the funding stream of a terrorist organization.
Mohammed Azharuddin Chhipa, 35, of Springfield, was sentenced yesterday to 30 years and 4 months in prison for providing material support to ISIS.
— U.S. Attorney EDVA (@EDVAnews) May 8, 2025
Methods of Concealment
Prosecutors noted that Chhipa demonstrated significant skill in covering his tracks. He adopted misspelled email aliases to hide his identity and frequently switched phones, using fictitious names when booking transportation services.
His activities even attracted the attention of Interpol. Authorities issued a Blue Notice after he attempted to travel from Mexico to Egypt. In December 2024, he faced a jury that convicted him on one count of conspiracy and four counts of providing material support to a designated terrorist entity.
Related Seizures and Sanctions
The case against Chhipa reflects a broader trend. On March 27, the Justice Department confiscated around $200,000 in cryptocurrency tied to wallets linked to Hamas. According to DOJ data, these wallets laundered more than $1.5 million since October 2024.
Simultaneously, the Treasury Department’s Office of Foreign Assets Control imposed sanctions on eight cryptocurrency addresses, which reported had been used by Yemen’s Houthis to acquire weapons and bypass sanctions.
Coordinated Action Against Cryptocurrency Misuse
According to Chainalysis, extremist organizations received approximately $24.2 billion in cryptocurrency throughout 2023. While this represents a small fraction of the overall illicit cryptocurrency market, it still contributes to violence.
The United Nations’ Counter-Terrorism Committee has warned that if not properly addressed, there is a risk that terrorists may transition from cash and weapons to entirely digital funding. Officials are advocating for stricter anti-money laundering regulations and enhanced cooperation between governments and cryptocurrency platforms.
By sentencing Chhipa to a lengthy prison term, U.S. judges are establishing clear boundaries. They signal that cryptocurrency will be treated the same as cash in cases involving support for terrorist groups. This case underscores a growing consensus: anyone funding terrorism should expect severe consequences—irrespective of the method used for transferring funds.
Featured image from The Atlantic, chart from TradingView
