FinCEN is analyzing $165 million in transactions that could link cryptocurrencies to Hamas, a senior official said.

“These updates will clarify and potentially expand coverage for new entities in the virtual asset ecosystem that may be operating in real or perceived gray areas with respect to (bank secrecy law) obligations,” he wrote. “The final proposal explicitly provides the Treasury Department’s Office of Foreign Assets Control with the authority to impose secondary sanctions – an impactful and flexible tool – against virtual asset companies that transact with sanctioned entities.”