Israel’s Ministry of Defense recently made a significant move by ordering the seizure of 187 crypto wallets that are believed to have ties to Iran’s Islamic Revolutionary Guard Corps (IRGC). The wallets in question reportedly received a total of $1.5 billion in funds, according to a government document signed by the Minister of Defense.
The IRGC is a military and security organization in Iran that was established after the 1979 revolution with the purpose of safeguarding the regime and the Islamic Republic. It is designated as a terrorist organization by the United States, the European Union, Israel, and several other countries.
The document issued by the Ministry of Defense lists all 187 wallet addresses that are suspected to belong to the IRGC. In response to this development, blockchain monitoring firm Elliptic conducted an investigation into these wallets to determine the amount of wealth they hold and whether they are traceable. Elliptic found that out of the 187 wallets, approximately 39 had been blacklisted by Tether since September 13, 2025. Additionally, it was discovered that only around $1.5 million in USDT remains in these addresses out of the initial $1.5 billion.
This seizure of crypto wallets is just the latest chapter in the ongoing conflict between Israel and Iran, with the IRGC reportedly using cryptocurrency to fund its operations. In a separate incident, the U.S. Justice Department seized $584,741 in USDT from the un-hosted crypto wallet of Iranian national Mohammad Abedini, who is linked to the IRGC and was involved in manufacturing navigation systems for military drones.
Furthermore, the U.S. has added more crypto wallets to its sanctions list that received funds linked to an individual named Sa’id Ahmad Muhammad al-Jamal, who was accused of distributing money to the Houthi militant group in cooperation with the IRGC-Qods Force.
In a related incident, Iranian crypto exchange Nobitex was hacked by a pro-Israel group in June 2025, resulting in the loss of over $90 million in stolen funds. These funds were then redirected to addresses associated with resistance against the IRGC. Monitoring firms like Elliptic have uncovered connections between Nobitex and the IRGC, including its use by sanctioned IRGC operatives for ransomware operations.
The seizure of these crypto wallets is a significant development in the ongoing conflict between Israel and Iran, as both countries continue to engage in cyber warfare and financial battles using cryptocurrency as a weapon.