Zoobia Shahnaz, a 27-year-old lab technician, was arrested at her home in Brentwood, on Long Island, on Wednesday night.
She was remanded in custody, to appear again in court in January, the Telegraph reported.
Shahnaz, a US citizen born in Pakistan, is accused of defrauding a series of American banks and sending the money through Pakistan, China and Turkey to fund ISIS.
She is believed to have become radicalised online, and as early as August 2015 began searching for information on joining ISIS, with Google search records showing that she looked for "hijrah", or holy migration.
Shahnaz made the transfers between March and August of this year, prosecutors say. She then sought to travel to Syria herself, having quit her job the previous month.
If convicted she faces a 30 year sentence for bank fraud and 20 years on each money laundering count.
US woman charged with laundering money via bitcoin to support ISIS
15 December 2017
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US woman has been charged with obtaining $62,000 in Bitcoin which was sent to support the ISIS terrorist group.
