Ma'an Khan Younis - Palestinian Authority Security forces released Ala' Al Hams Thursday afternoon.
He was accused of involvement in kidnapping three British citizens in the southern Gaza Strip last week.
Wednesday night's attack on the Rafah - Egypt border was a protest, demanding his release.
Al Hams arrived in Rafah where he was received by colleagues affiliated with the Al Aqsa Brigades.
The Al Aqsa Brigades are generally thought to be the armed resistance wing of the Fateh political party. Recently, however, several acts have taken place in their name that either the Brigades deny involvement in, or the Fateh party denounce.
There are several splinter groups working as associates of Al Aqsa or directly using their name, but whether they are really a part of that resistance group is difficult to determine.