Three Israelis Arrested on Iran Espionage Involving Crypto

Israeli authorities recently arrested three citizens suspected of espionage for Iran. Although the three are not related, two of them allegedly received payments in the form of crypto assets as compensation for the spying tasks they carried out.

Case Details and Modus Operandi

Based on information we quoted from the media Beincrypto, in one of the cases, a 27-year-old man from Tel Aviv was arrested for allegedly taking photos of public officials’ homes, documenting military bases, and spraying graffiti.

Police seized electronic devices believed to be used to communicate with Iranian agents. The suspect allegedly received thousands of dollars in crypto to carry out the tasks.

The second suspect, Dmitri Cohen, a 28-year-old man from Haifa, allegedly gathered intelligence on high-profile targets, including Prime Minister Benjamin Netanyahu’s future son-in-law, Amit Yardeni.

Cohen reportedly gathered information on Yardeni and his family in the weeks leading up to her now-postponed wedding to Avner Netanyahu.

Cryptocurrency as a Means of Payment in Espionage

The use of crypto in this case highlights how digital currencies can be used to fund espionage and cyberattacks.

The anonymity and decentralization of crypto make it an attractive tool for state actors to fund covert operations without detection.

Escalation of Conflict into the Digital Realm

The arrests reflect the escalation of the conflict between Israel and Iran into the digital realm. Blockchain technology and crypto are now part of the geopolitical battleground, used not only for financial transactions but also as tools in information warfare and espionage.