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How does KYC prevent funding terrorism in the first place? It's not like the terrorists sign up for a bank account stating "occupation: islamic extremist".

There have been ways to funnel money and resources to illegitimate causes since the advent of money, and the presence of KYC/AML regulations hasn't stopped it.

I don't have any stats, but I would wager that removing KYC/AML and allowing total financial freedom for individuals would do more to reduce terrorism than the KYC/AML regulations achieve on their own.

I don't have any stats, but I would wager that removing KYC/AML and allowing total financial freedom for individuals would do more to reduce terrorism than the KYC/AML regulations achieve on their own.

How?

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Purely through the broader changes that such freedom would create in society. A freer society ends up being a happier, healthier, richer society, with a greater incentive to cooperate and trade peacefully.

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I think there would always be both sides, no matter how freer the society gets.

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