“Every dollar prevented from reaching the Revolutionary Guards is a dollar that will not reach Hezbollah, Hamas, the Houthis, and Iran’s other terrorist proxies,” Katz said.
By United with Israel Staff
Defense Minister Israel Katz on Wednesday imposed sanctions on dozens of cryptocurrency wallets linked to Iran’s Islamic Revolutionary Guard Corps (IRGC), targeting what Israeli officials described as a major financial network used to funnel money to Hezbollah and other Iranian-backed terrorist organizations.
The Defense Ministry said the National Bureau for Counter Terror Financing, working alongside Israel’s intelligence community, uncovered a cryptocurrency-based financing infrastructure operated by the IRGC to transfer funds to its regional proxies.
Following the investigation, Katz signed sanctions orders against 37 digital wallets that authorities said played a central role in the network. The wallets contained cryptocurrency assets worth more than NIS 24 million (approximately $8 million).
According to the Defense Ministry, the network transferred tens of millions of dollars over the years to Iranian-backed terrorist organizations, including Hezbollah, Hamas, and the Houthis.
Officials said Hezbollah has become increasingly dependent on outside funding after suffering severe losses during its conflict with Israel, making Iran’s financial support even more critical.
The sanctions are the latest step in Israel’s broader campaign to disrupt the financial infrastructure that sustains Iran’s regional proxy network.
“The campaign against Iran is not conducted only on the battlefield,” Katz said. “It is also a battle over the money that fuels terrorism.”
“Every dollar prevented from reaching the Revolutionary Guards is a dollar that will not reach Hezbollah, Hamas, the Houthis, and Iran’s other terrorist proxies,” he added. “We will continue to strike every financial pipeline of the Iranian terror axis, wherever it operates and by every available means.”
The Defense Ministry said the operation resulted from a combined intelligence, operational, and legal effort involving multiple Israeli security agencies.
Yurai Matzlaoui, head of the National Bureau for Counter Terror Financing, said digital currencies would not provide safe haven for terrorist financiers.
“Even in the crypto space, there is no immunity for those who finance terrorism,” Matzlaoui said. “The bureau will continue to identify, expose, and disrupt the financial infrastructure of Iran and its proxies wherever they operate.”
Israeli officials said the operation represents another blow to Iran’s ability to finance terrorist organizations throughout the region as Jerusalem continues expanding its economic campaign alongside ongoing military efforts against the Iranian-backed network.
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