Why is Hamas advising crypto donors to switch from Binance to Bybit and OKX?

According to 2026 U.S. Department of Justice documents, Hamas' military wing has instructed donors to stop using Binance due to its increased regulatory cooperation. The group is now directing funds toward Bybit, OKX, Kast, and Redotpay to bypass the heightened monitoring and compliance standards now present on the world’s largest exchange.
Why is Hamas advising crypto donors to switch from Binance to Bybit and OKX?

Hamas has explicitly advised its donor network to move away from Binance, opting for platforms such as Bybit, OKX, Kast, and Redotpay. Recent U.S. Department of Justice (DOJ) disclosures from January 2026 indicate that this shift is a strategic response to Binance’s aggressive implementation of Anti-Money Laundering (AML) and Know Your Customer (KYC) protocols. Since its landmark settlement with U.S. authorities, Binance has integrated real-time surveillance tools that make it increasingly difficult for sanctioned entities to facilitate illicit transactions.

The DOJ documents highlight that illicit actors are actively migrating to exchanges they perceive as having less stringent oversight or those headquartered in jurisdictions that do not immediately comply with U.S. subpoena requests. By advising the use of Bybit and OKX, the group is attempting to exploit the fragmented nature of global crypto regulation. This migration underscores the 'whack-a-mole' challenge faced by federal investigators as terrorist organizations pivot their financial infrastructure faster than regulations can be globally synchronized.

For the broader crypto market, this development is a double-edged sword. While it validates Binance’s efforts to purge bad actors, it puts a significant regulatory target on the backs of Bybit and OKX. The identification of these platforms in DOJ documents often serves as a precursor to formal enforcement actions or sanctions. Users of these platforms should be prepared for potential service disruptions or sudden mandatory KYC updates as these exchanges face mounting pressure to align with international financial standards.

Looking ahead, market participants should watch for official responses from the mentioned exchanges and potential updates from the Office of Foreign Assets Control (OFAC). If Bybit and OKX fail to demonstrate proactive measures to block these illicit flows, they risk being cut off from the U.S. financial system entirely, a move that would have significant liquidity implications for the global digital asset market throughout 2026.

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