OFAC Designates Nordic Resistance Movement as SDGT - Blockchain.News

OFAC Designates Nordic Resistance Movement as SDGT

Caroline Bishop Jun 15, 2024 07:45

OFAC sanctions Nordic Resistance Movement for violent extremism and crypto-funded terrorism.

OFAC Designates Nordic Resistance Movement as SDGT

The United States Department of the Treasury’s Office of Foreign Assets Control (OFAC) has officially sanctioned the Nordic Resistance Movement, designating it as a Specially Designated Global Terrorist (SDGT) group. This action, announced on June 14, 2024, also targets three individuals linked to the group: Leif Robert Eklund, Par Oberg, and Tor Fredrik Vejdeland, the latter being the group's new leader since March 2024. The sanctions are in response to the group’s involvement in violent extremism and terrorism, according to Chainalysis.

Background on the Nordic Resistance Movement

The Nordic Resistance Movement is a pan-Nordic organization advocating for a unified Nordic ethnostate, encompassing Sweden, Norway, Denmark, Finland, and Iceland. Founded in Sweden in 1997, the group is known for its white supremacist and anti-Semitic ideology. In 2020, Finland banned the organization, citing activities that were “significantly contrary to law.”

On-Chain Activities

The Nordic Resistance Movement has been an early adopter of cryptocurrency, using it to fund its operations since at least 2015. The group has promoted various crypto addresses for donations, accumulating substantial funds over the years. Initially, they held approximately $92,000 in Bitcoin, which more than doubled in value over time. These funds were primarily moved to exchanges, presumably for cashing out.

The organization has publicly stated that it relies on cryptocurrency donations because it cannot operate traditional bank accounts. Donations have been accepted in Bitcoin (BTC), Ethereum (ETH), Litecoin (LTC), Tether (USDT), Cosmos (ATOM), Monero (XMR), Cardano (ADA), and other cryptocurrencies.

Monitoring and Compliance

OFAC’s recent designations underscore the U.S. government's commitment to protecting its citizens from terrorist activities funded through cryptocurrencies. Following the sanctions, the Nordic Resistance Movement's Denmark branch removed crypto addresses from specific web pages. However, Chainalysis has identified and labeled the relevant addresses associated with the sanctioned entities in its product suite.

In the Chainalysis Reactor graph, it is evident that the group received several thousand dollars’ worth of donations from users at mainstream exchanges and a mining pool. These funds were subsequently moved to various exchanges to be cashed out.

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