Crypto Bust: Israel Cracks Down on Terrorists’ Digital Assets

Crypto Bust: Israel Cracks Down on Terrorists’ Digital Assets
The National Bureau for Counter-Terrorist Financing of Israel has made a significant breakthrough in its efforts to combat terrorism. The country has successfully confiscated several cryptocurrency wallets containing substantial sums of money that were earmarked for funding acts of terror. 

According to the Local Media report, Israeli Defense Minister Yoav Gallant attributed the success of the operation to the collaboration between Israeli defense and justice ministries, intelligence agencies, and the utilization of cutting-edge technology. 

During a conference on June 27, Defense Minister Yoav Gallant announced the successful conclusion of an operation that seized cryptocurrency recently transferred to Hezbollah and the Iranian Quds Force. This operation marked the largest confiscation of cryptocurrency from these groups, effectively disrupting the flow of terror funds through this channel. 

Also Gallant added, “In recent months, we have developed at the National Bureau for Counter Terror Financing in the Ministry of Defense, in collaboration with intelligence and enforcement entities (the Mossad, IDF Intelligence Branch, Israel Police and additional entities), new capabilities that have led to very significant achievements also on this battlefront".

Defense Minister Yoav Gallant revealed that Hezbollah, the Quds Force, and certain Syrian functions were utilizing cryptocurrencies as a means to acquire funds unlawfully from third parties, primarily money changers involved in illicit transactions.

In a noteworthy national security accomplishment, Israeli authorities successfully seized $1.7 million in the operation. Blockchain analytics firm Chainalysis expressed pride in their tools playing a significant role in this achievement, as mentioned in their blog.

Prior to this operation, efforts had been made to address the issue of cryptocurrency financing. In April, Hamas, a Palestinian Sunni organization, made a significant policy change by announcing its decision to discontinue accepting donations in cryptocurrency. 

This shift was driven by concerns for the safety of donors, stemming from intensified hostile actions targeting those who sought to support the resistance through this digital currency. 

Previous Next

This information is for educational purposes only and does not constitute investment advice. No person should rely on it to make any investment. Investing carries risks, including the loss of capital. All opinions expressed are subject to change without notice. Past performance is not indicative of future results. Always seek the advice of a licensed investment professional before making any investment.