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New York Woman Charged with Funding Palestinian Islamic Jihad via Cryptocurrency

7/2/2026, 5:17:39 AM

Arrest and Federal Charges

On Tuesday, federal prosecutors in the Western District of New York announced the arrest of Catherine Beth Washburn, 37, of Irondequoit, New York. She was charged with attempting to provide material support and resources—specifically cryptocurrency—to the Palestine Islamic Jihad (PIJ), a U.S.-designated foreign terrorist organization. The indictment carries a maximum penalty of 20 years imprisonment and a $250,000 fine. Washburn made an initial appearance before U.S. Magistrate Judge Mark W. Pedersen and was ordered detained.

Direct Action Movement for Palestinian Liberation (DAMPL)

Washburn is identified as a leader of the Direct Action Movement for Palestinian Liberation (DAMPL), an extremist group formed after the October 7, 2023 Hamas attack on Israel. DAMPL rejects peaceful protest and claims to engage in “direct action,” including sabotage, property destruction, and other attacks against entities it associates with Israel. The Anti-Defamation League notes that DAMPL’s activities have included vandalism of public buildings, such as the 2025 paint-defacement of the Massachusetts State House by an affiliate.

Palestine Islamic Jihad (PIJ) – Designation and Background

PIJ, also known as the Al-Quds Brigades, is an Iran-backed Palestinian organization that participated in the October 7, 2023 attacks on Israel, resulting in civilian abductions and killings. The U.S. State Department classifies PIJ as a foreign terrorist organization, prohibiting any material support to the group.

Financial Trail: Cryptocurrency Transfers

The criminal complaint details approximately 80 cryptocurrency transfers from Washburn to an account used by an individual who identified himself as a PIJ fighter in Gaza. Sources report the total value as “approximately $30,116” and, in other statements, as “more than $30,000.” The transfers were conducted in U.S. DC stablecoin (USDC) between February and March 2026.

Official Statements from U.S. Authorities

Assistant Attorney General for National Security John A. Eisenberg said Washburn “repeatedly voiced support for violence against Israeli civilians and attempted to provide material support to the Palestine Islamic Jihad by sending cryptocurrency to an individual who claimed to participate in its attacks.” U.S. Attorney Michael DiGiacomo added that the defendant was “fueled by her self-described hate of Israel and Jewish people” and that “her efforts were stopped.” Acting Assistant Director Coult Markovsky of the FBI’s Counterterrorism Division emphasized that “the FBI is committed to cutting off funding to terrorist groups and will continue to work side-by-side with our Justice Department partners.”

Verbatim Quotes

  • “I wish every day were October 7th.” — Catherine Beth Washburn, messages to alleged PIJ fighter
  • “I feel excited every time I see news of the killing of an occupation soldier.” — Catherine Beth Washburn, messages
  • “If I lived in Gaza, I would fight alongside the resistance.” — Catherine Beth Washburn, messages
  • “As alleged, Washburn repeatedly voiced support for violence against Israeli civilians and attempted to provide material support to the Palestine Islamic Jihad by sending cryptocurrency to an individual who claimed to participate in its attacks,” — John A. Eisenberg, Assistant Attorney General for National Security
  • “Despite her alleged attempts, including cryptic communications with a fighter involved in violent attacks in an area thousands of miles away, Catherine Washburn was stopped and so too were her efforts to support violent extremism,” — Michael DiGiacomo, U.S. Attorney

Conflicting Figures on Transfer Amounts

The indictment cites “approximately $30,116” in cryptocurrency, while press releases describe the sum as “more than $30,000.” Both figures refer to the same series of 80 transfers, reflecting minor reporting variation.

Next Steps in the Prosecution

The case is being prosecuted by Assistant U.S. Attorney Brett A. Harvey and Trial Attorney Patrick Cashman of the Department of Justice’s National Security Division. If convicted, Washburn faces up to 20 years in prison and a $250,000 fine. The investigation was conducted by the FBI’s Joint Terrorism Task Force under Special Agent in Charge Allen D. Davis II.