Israel reveals ‘money laundering network’ sending digital currency to Iran

Israel has identified a “terrorist network” which launders millions of pounds worth of digital currencies intended for use by Iran and Hezbollah, Defence Minister Yoav Gallant claimed on Wednesday. 

Gallant said that the threats against Israel have changed and evolved over the years, forcing it to identify and cut off resources intended for terrorism.

“This is not a simple mission, and it only becomes more complex once we deal with digital currencies. Anyone who finances terrorism and/or maintains financial ties with the perpetrators of terror – must know that they too, will become targets,” Gallant said.

The Mossad, IDF, defence ministry and police have all developed “new capabilities, which have enabled significant achievements in this domain,” Gallant stated.

According to Israel’s estimates, Hezbollah, Syrian operatives and the Iranian Quds Force have used digital currencies to receive funds from third parties, via illegal transactions since the beginning of this year.

Gallant described the Israeli operations as a first of its kind and scale, setting a precedent in “exposing the source of terror-funding via digital currencies.”

“We have thwarted the transfer of millions of dollars to terrorists. By virtue of my authority as Minister of Defense, I issued an order that enabled the confiscation of said funds, as well as their transfer to the State of Israel. In doing so, we have effectively cut off the flow of terror funds via this channel,” Gallant concluded.