Circle refutes accusations of engaging in illegal financial activities.
Circle has issued a comprehensive response to the allegations made by Senators Elizabeth Warren and Sherrod Brown, denying any improper banking relationships or involvement in illicit activities. The letter, written by Circle’s Chief Strategy Officer Dante Disparte, directly addresses the claims made by the Campaign for Accountability, which accused Circle of facilitating illicit financial activities, including banking Justin Sun and financing Hamas.
The Campaign for Accountability, led by Michelle Kuppersmith, based their allegations on various studies and reports that suggested a connection between Circle and Sun. However, Circle’s response is unequivocal: they currently have no accounts with Sun or any of his associated entities, such as the TRON Foundation or Huobi Global.
It is worth noting that the U.S. government has not designated Sun or his companies as “specially designated nationals.” Nevertheless, Circle decided to close their accounts in February 2023.
This controversy arises in the midst of broader concerns regarding the role of cryptocurrencies in illegal finance. Senators Warren and Brown have been vocal in urging the Biden Administration to address this issue, particularly in relation to crypto-financed terrorism. Their concerns were partly based on a Wall Street Journal report that suggested Hamas had used cryptocurrency to fund attacks on Israel. However, this claim was later disputed by Elliptic, the data source for the report.
Circle maintains a firm position on the matter but remains open to dialogue, extending an invitation to the two Senators to discuss these concerns further.
