DOJ Seizes Over $560K in Crypto Linked to Hamas Funding
by Maisie Morrison · BlockonomiTLDR
Table of Contents
- DOJ seized more than $560,000 in cryptocurrency allegedly meant for Hamas
- FBI took control of domains and servers linked to the Al Qassam Brigades
- Investigators used blockchain records and human sources to trace the funds
- Rotating crypto addresses were used to collect donations from supporters online
- Case remains active with no forfeiture or new charges announced yet
The U.S. Department of Justice announced on Sept. 1 that federal investigators seized more than $560,000 in cryptocurrency. Officials said the funds were allegedly meant for Hamas.
The FBI also took control of several domains and servers. Authorities said the sites supported fundraising and recruitment efforts.
Hamas is designated as a foreign terrorist organization by the U.S. government. The announcement describes allegations made in court filings, not a criminal conviction.
How the Seizures Happened
The crypto seizures were authorized through three warrants. They were dated March 25, 2025, June 25, 2025, and Oct. 10, 2025.
Investigators said human sources helped uncover a fundraising system. Donors were directed to rotating addresses shared through an encrypted group chat and a website.
The first stage of the investigation recovered about $201,400. That amount came from crypto wallets and exchange accounts tied to a network that moved over $1.5 million since October 2024.
Later warrants added more funds to the total. The full seized amount now stands above $560,000.
The FBI expanded the operation to online infrastructure in July and August 2026. Agents took control of domains including Alqassam.ps, described as the Al Qassam Brigades’ main website.
Taking control of the domains let investigators interrupt access. It also let them collect information sent through the seized systems.
The DOJ said the operation let the FBI intercept more crypto donations meant for Hamas. Authorities also gathered information about thousands of people who reached out to the platforms.
The government has not said how many of those contacts completed payments. It also has not said whether any donors face charges.
The FBI’s Albuquerque Field Office led the operation. It worked with the Counterterrorism Division, Cyber Division, and the New York Field Office.
What Investigators Used to Trace the Funds
Crypto addresses can change often, but transfers on public blockchains leave permanent records. Investigators can link those transfers to exchange accounts when more evidence is available.
The DOJ combined blockchain tracing with information from human sources. A review of the earlier seizure found authorities followed transfers through exchanges and wallets before taking control of the funds.
Rotating addresses can make tracking harder, but they don’t erase transaction history. Funds can become traceable once users interact with regulated exchanges that collect customer data.
Other cases have involved stablecoin issuers freezing tokens tied to suspected illicit networks. Tether previously helped U.S. authorities freeze $1.6 million connected to an alleged terrorism financing network.
A court-authorized seizure lets law enforcement hold assets during an investigation. Final forfeiture is a separate legal step that decides whether the government keeps the funds for good.
The DOJ has not announced a forfeiture judgment covering the full $560,000. It also has not released a breakdown of how much came from each warrant.
The investigation is still active. Information from the seized domains and servers could lead to more inquiries, sanctions, or criminal cases.
No timetable has been given for further legal steps. Some evidence tied to the case may stay sealed to protect investigative methods.