EU plans to strengthen Bitcoin management to cut off terrorist funding sources

Tencent Technology News, November 20, according to a draft document obtained by Reuters, EU countries plan to strengthen controls on virtual currencies, anonymous online payments or payments through prepaid cards to cut off terrorist funding sources.

     The document shows that the interior and justice ministers of EU member states will hold a crisis management meeting in Brussels on Friday. They will urge the European Commission to develop corresponding measures to strengthen the control of "non-bank payment methods", including electronic payments, anonymous payments, virtual currency payments, prepaid card payments, and the transfer of gold and other precious metals.

     Bitcoin is currently the most common virtual currency and is used as a tool to transfer funds quickly and anonymously online without the need for third-party verification.

     In addition to Bitcoin, prepaid debit cards purchased in stores as gift cards can also be used to make anonymous payments online.

     After last week's Paris terrorist attacks, an anonymous hacker group called GhostSec hacked into ISIS's network and found evidence that ISIS used Bitcoin to transfer funds. The hacker group said that ISIS had a Bitcoin wallet (account) with about $3 million worth of Bitcoin.

     EU ministers will also draw up plans "to more effectively control the illegal trade in cultural products," the draft said.