Detroit Man Sentenced to 9 Years for ISIS Crypto Financing Scheme
Shadow Operative Reveals Growing Concern of Digital Terrorism Funding
In a landmark case highlighting the evolving nature of terrorism financing in the digital age, a Detroit resident has been sentenced to nine years in federal prison after pleading guilty to concealing cryptocurrency donations intended for the Islamic State of Iraq and Al-Sham (ISIS). The sentencing marks another milestone in the federal government’s ongoing efforts to dismantle sophisticated digital networks that facilitate terrorism funding around the globe.
Jibreel Pratt, who described himself as operating “in the shadows,” received his sentence Thursday following his July guilty plea to two counts of concealing cryptocurrency donations intended for ISIS. The case represents the growing intersection of digital finance technologies and terrorism support networks that law enforcement agencies are increasingly targeting as part of their counter-terrorism strategies.
“Mr. Pratt is the latest traitor who—in his own words—operated ‘in the shadows,'” said U.S. Attorney Jerome F. Gorgon, Jr. in a statement released by the U.S. Attorney’s Office for the Eastern District of Michigan. “And we will continue to stand guard because he may not be the last.” The stern warning underscores federal authorities’ vigilance against domestic support for international terrorist organizations, particularly through difficult-to-trace digital payment methods.
The Elaborate Scheme: From Digital Recruitment to Bitcoin Transfers
The investigation revealed that Pratt’s involvement began in February 2023, when he initiated contact with someone he believed was an ISIS operative. Unbeknownst to Pratt, this individual was actually a Confidential Human Source (CHS) working with federal authorities—an undercover operative gathering evidence while maintaining anonymity throughout the investigation process.
Over subsequent months, Pratt demonstrated his commitment to the terrorist organization through increasingly concrete actions. Most notably, he recorded a video pledging allegiance to ISIS’s leader, a significant step that prosecutors highlighted as evidence of his serious intent to support the organization. The pledge represented more than mere sympathy with the group’s ideology, instead signaling his willingness to formally join their ranks.
The financial component of Pratt’s support materialized in March and May 2023, when he transferred Bitcoin to the source under the belief that these funds would either facilitate travel for ISIS recruits or support individuals planning violent acts in the group’s name. These transactions formed the core of the criminal charges against him.
“The sentencing should send a strong message to anyone seeking to support foreign terrorist organizations, via financial means or otherwise, that the FBI will not stand idly by and allow this activity to occur within the United States,” said FBI Special Agent in Charge Jennifer Runyan following the sentencing.
Sophisticated Operational Planning Revealed in Investigation
What particularly alarmed investigators was the sophistication and thoroughness of Pratt’s operational planning. The evidence presented in court included extensive handwritten notes and documents that detailed various strategic proposals for ISIS operations. These materials went well beyond financial support, demonstrating Pratt’s intent to provide tactical expertise and operational guidance to the terrorist organization.
Among the most concerning proposals were detailed plans for weaponizing drones and remote-controlled cars with explosives—technologies that terrorist organizations have increasingly sought to deploy in attacks around the world. Additionally, Pratt provided recommendations for organizing intelligence networks and strengthening air defense capabilities, showing a level of military and tactical thinking that prosecutors argued made him particularly dangerous.
To evade detection by authorities, Pratt implemented sophisticated digital security measures. He routed his Bitcoin transfers through privacy-focused Virtual Private Networks (VPNs) and employed encryption software specifically designed to hide transaction details and private keys. These counter-surveillance techniques demonstrated his awareness of law enforcement monitoring and his determination to avoid detection while providing material support to a designated terrorist organization.
The Broader Context: Cryptocurrency’s Role in Terrorism Financing
Pratt’s case represents just one example in a broader pattern of cryptocurrency being utilized for terrorism financing that has gained increasing attention from federal authorities. The decentralized, pseudonymous nature of cryptocurrency transactions makes them particularly attractive to those seeking to move funds outside traditional banking systems, which are subject to extensive monitoring and regulation.
In May of this year, a Virginia man received a 30-year prison sentence after being convicted of channeling more than $185,000 in cryptocurrency to ISIS operatives in Syria between 2019 and 2022—a case that demonstrated the significant volumes of funding that can flow through these digital channels. The substantial sentence reflected the seriousness with which federal courts are treating such financial support mechanisms.
More recently, in March, the Justice Department seized over $200,000 in cryptocurrency linked to Hamas, identifying it as part of a broader network that authorities believe has laundered more than $1.5 million since late 2024. These enforcement actions show the increasing sophistication of federal monitoring of cryptocurrency flows to terrorist organizations, as well as the growing scale of such operations.
Federal Response and Ongoing Vigilance Against Digital Terrorism Support
The successful prosecution of Pratt comes amid intensified efforts by multiple federal agencies to identify and disrupt cryptocurrency flows to designated terrorist organizations. This multi-agency approach involves collaboration between the FBI, Department of Homeland Security, Treasury Department’s Financial Crimes Enforcement Network (FinCEN), and other specialized units dedicated to monitoring suspicious digital transactions.
Law enforcement officials emphasize that while cryptocurrency offers certain anonymity features, the blockchain technology underlying these currencies ultimately creates permanent, immutable records of all transactions. This characteristic has enabled investigators to develop increasingly sophisticated methods for tracing fund flows, identifying patterns, and connecting seemingly anonymous transactions to specific individuals and organizations.
“Those who believe cryptocurrency provides perfect anonymity for supporting terrorist groups are mistaken,” noted one senior federal investigator who spoke on condition of anonymity due to ongoing operations. “These digital trails may be complex, but they are ultimately traceable, and we are continually enhancing our capabilities to follow these financial breadcrumbs.”
As cases like Pratt’s demonstrate, federal authorities remain vigilant against evolving methods of terrorism support, particularly as digital technologies create new vectors for financing violent extremism. While cryptocurrency offers certain benefits for legitimate users, its potential misuse for terrorism financing represents a significant national security concern that continues to drive aggressive enforcement actions against those who would exploit these technologies to support violent organizations abroad.
“The methods may change, but our commitment to preventing terrorism financing remains unwavering,” concluded U.S. Attorney Gorgon. “Whether through traditional banking channels or cutting-edge digital currencies, those who fund terrorism will face the full force of American justice.”
