Israel Seizes 187 Crypto Wallets Linked to $1.5B IRGC Funds
Israel’s Ministry of Defense announced the confiscation of 187 cryptocurrency wallets allegedly belonging to Iran’s Islamic...
Quick overview
- Israel's Ministry of Defense has confiscated 187 cryptocurrency wallets linked to Iran's Islamic Revolutionary Guard Corps, which received $1.5 billion in funds.
- The Minister of Defense ordered the seizure of all assets in these wallets under Israeli law, as the IRGC is designated a terrorist organization by multiple countries.
- Blockchain analytics firm Elliptic confirmed that only $1.5 million remains in the wallets, with many already blacklisted by Tether.
- The case underscores the growing connection between digital assets and global security, highlighting the need for ongoing monitoring of crypto exchanges linked to sanctioned groups.
Israel’s Ministry of Defense announced the confiscation of 187 cryptocurrency wallets allegedly belonging to Iran’s Islamic Revolutionary Guard Corps (IRGC). The wallets received $1.5 billion in funds and the government is taking immediate legal action.
In a formal document, the Minister of Defense ordered the seizure of all assets in the wallets under section 66 of Israeli law. The IRGC, an Iranian military and security organization founded after the 1979 revolution, is a designated terrorist organization by Israel, the US, the EU and several other countries.
Blockchain analytics firm Elliptic confirmed the seizure and analyzed the wallets. Of the 187 wallets, 39 were already blacklisted by Tether since September 13, 2025. The firm found that only a fraction of the original $1.5 billion remains—$1.5 million in USDT.
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🇮🇱 Israel seizes 187 wallets tied to Iran's IRGC, allegedly moving $1.5B in $USDT pic.twitter.com/XCiUVSDF5j— CoinCatch (@coincatchcom) September 16, 2025
Crypto and IRGC
The IRGC has a history of using crypto to fund military operations. Last Friday the US Justice Department seized $584,741 in USDT from an un-hosted wallet of Iranian national Mohammad Abedini, founder of a company that produces navigation systems used in IRGC drones, including the Shahed UAV. Abedini was charged in December 2024 for supporting the IRGC Aerospace Force, responsible for Iran’s strategic missile and air programs.
Other notable crypto-linked actions:
- US sanctioned wallets received $332 million in USDT linked to Sa’id Ahmad Muhammad al-Jamal, supporting the Houthi group Ansarallah in coordination with IRGC-Qods Force officials.
- Iranian exchange Nobitex lost over $90 million in a June 2025 hack by a pro-Israel group; stolen funds were transferred to addresses opposing the IRGC.
- Elliptic found links between Nobitex and sanctioned IRGC operatives, including alleged ransomware operations.
Israel Seizes $1.5B in $USDT Tied to Iran
Israel’s Ministry of Defense seized 187 crypto wallets holding $1.5B in Tether, alleging links to Iran’s IRGC. This follows a recent U.S. DOJ seizure of $584K $USDT from an Iranian national tied to the IRGC drone program.#CryptoNews
— CryptosCover (@cryptoscover) September 16, 2025
Crypto and Geopolitics
The seizure of $1.5 billion in IRGC crypto shows how digital assets are increasingly tied to global security concerns. While the remaining balances are small, the case highlights the challenges for regulators to trace funds used by sanctioned groups.
Experts say ongoing monitoring of exchanges and wallets tied to the IRGC will be key to disrupting funding networks. As crypto adoption grows, the role of blockchain analytics firms like Elliptic in global counterterrorism efforts will only expand, providing authorities with real-time insights into illicit financial flows.Crypto as a military funding tool.
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