The Hamas question

As an outsider the Hamas victory is a fascinating development in world politics (except for those involved). A terrorist organization becoming the ruling party in a fair and democratic election is pretty interesting, but more so since they are economically dependent on the west and their enemy (Israel)! What a conundrum. If the west continues it's economic support it does legitimize the organization and is directly supporting terrorism. On the other hand not supporting them means the state will collapse and the people will suffer. But the people did *choose* there government, although it is clear why (the ruling Fatah party was super corrupt and inept). Hamas has complicated matter by asking for the money saying it would harm the Palestinian people and said that the money should continue to flow without condition and if it doesn't they will seek it from Arab countries without strings (like the acknowledgement of Israel's right to exist). The first question is why aren't these countries paying in the first place!?! Hamas hates the west but wants our money, how convenient. The problem is that if we do stop funding the Palestinians we lose all say and the money may tie them further to Iran or other negative influences. I wonder what will happen.