CoinDesk
The U.S. Justice Department says it seized more than $560,000 in cryptocurrency intended for Hamas and that the FBI took control of domains and servers used to raise money and recruit supporters. The infrastructure included Alqassam.ps, the group's main website, allowing agents to intercept further crypto donations. An earlier action recovered about $201,400 from wallets tied to a system that had moved more than $1.5 million since October 2024. Court documents say investigators used human sources to trace rotating addresses promoted through an encrypted group chat and fundraising website.
Why it matters
The operation ties wallet rotation to donor outreach and the web infrastructure directing people to payment channels. The DOJ said it gathered information on thousands of people who contacted Hamas-linked platforms to donate through crypto or traditional payment methods.
For crypto businesses, the case shows that scrutiny can extend beyond wallet balances to the domains and servers connecting donors with payment routes. Investigators combined human intelligence with blockchain tracing rather than treating each address as an isolated lead.
Market impact
The immediate effect is a disrupted donation pipeline and the seizure of more than $560,000 in crypto. Control of Alqassam.ps interrupts a key fundraising route, while the operation produced data on people who used Hamas-linked platforms.
The wider signal is compliance pressure on exchanges, custodians and payment providers. Address rotation does not shield a fundraising network when authorities can connect wallets, infrastructure and donor activity.
Frequently asked questions
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Which website did the FBI take control of?
The FBI took control of Alqassam.ps, described as the group's main website, along with domains and servers used to raise money and recruit supporters.
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How were the rotating crypto addresses identified?
Court documents say investigators used human sources to trace rotating crypto addresses promoted through an encrypted group chat and a fundraising website.
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How much had the linked wallet system moved since October 2024?
The system tied to an earlier recovery of about $201,400 had moved more than $1.5 million since October 2024.
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What did investigators learn about people contacting the platforms?
The DOJ said the operation produced information on thousands of people who contacted Hamas-linked platforms to donate through crypto or traditional payment methods.
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Why does the case matter for crypto compliance?
It shows that scrutiny can extend beyond wallet balances to the domains and servers connecting donors with payment routes. That raises compliance pressure on exchanges, custodians and payment providers to monitor linked activity.
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