South Korea arrests four over crypto payments to Syrian terror group

South Korean police have arrested four Uzbek nationals in the city of Gwangju for allegedly using cryptocurrency to finance a designated terrorist organization operating in Syria. The case represents the first time South Korean authorities have detected digital assets being used to supply physical materials to a terror group. The primary suspect, described as a man in his 30s, allegedly transferred approximately 4,267 USDT, worth around 6.3 million won (roughly $4,600), to Khatiba al-Tawhid wal-Jihad (KTJ) across seven separate transactions between August 2025 and April 2026. KTJ is an al-Qaeda-affiliated group that has been designated a terrorist organization by both the United Nations and the United States since 2022. More than just money transfers The crypto payments were only part of the alleged scheme. According to South Korean authorities, the suspect also received more than 30 million won worth of digital assets from KTJ, which was allegedly used to purchase 11 used cars and two excavators, collectively valued at 170 million won. Those vehicles and pieces of heavy equipment were then exported to Syria between April and December 2025. All four suspects were charged under Sout...