Spanish Court Probes Alleged Hamas Crypto Financing Linked to Barcelona Hair Salon

Investigation Launched into Alleged Hamas Crypto Funding

Spanish authorities have launched an investigation into a 38-year-old Chinese national, the owner of a hair salon near Barcelona, on suspicion of financing the militant group Hamas through cryptocurrency transfers. The probe, led by Spain's Audiencia Nacional and the Catalonia regional police, Mossos d'Esquadra, alleges that approximately €600,000 was transferred via digital wallets to entities linked to Hamas.

Details of the Allegations and Operations

The investigation centers on at least 31 cryptocurrency transactions originating from virtual wallets controlled by the suspect. These funds were reportedly directed to addresses suspected of being connected to a financing structure utilized by Hamas, an organization designated as a terrorist group by the European Union. The hair salon, located in L'Hospitalet de Llobregat, a municipality near Barcelona, is believed to have served as a front for these alleged illicit financial activities.

Law Enforcement Action and Seizures

The case initially began in June 2025 as a separate inquiry into fraud and money laundering. Investigators later flagged suspicious cryptocurrency activity, escalating the matter into a terrorism-financing investigation. During searches of the suspect's hair salon and home, authorities seized a significant amount of assets, including:

• Crypto assets
• Over €100,000 in cash
• Luxury items such as jewelry and approximately 9,000 cigars
• Computers and mobile phones

Additionally, several bank accounts were frozen, bringing the total value of seized and blocked assets to over €370,000. The suspect was detained on Tuesday but subsequently released pending further proceedings, with restrictions including the surrender of their passport and regular court check-ins. Police have not disclosed the suspect's possible motives or whether they knowingly interacted with Hamas.

Broader Context of Crypto and Terror Financing

This case highlights growing concerns among international authorities regarding the use of cryptocurrencies by terrorist organizations to move funds across borders. Law enforcement agencies have increasingly warned that the decentralized and often pseudonymous nature of digital currencies can complicate efforts to track and disrupt terrorism financing networks. The alleged transfers in this Spanish investigation reportedly showed patterns suggesting intentional structuring to obscure the final recipients, rather than random peer-to-peer transactions.

The ongoing investigation by Spanish authorities underscores the complex challenges in combating terror financing in the digital age. As the probe continues, it remains a focal point for understanding the evolving methods used by militant groups to fund their operations and the efforts by global law enforcement to counter them.