Interdiction torches are very cool but really hard to integrate into structures.

I think if you could craft them into Interdiction Lanterns that do the exact same thing but look like lanterns, it'd make them a lot more usable in builds and all that.
The recipe would just be the same as a normal lantern but with an Interdiction Torch instead of a normal one.

Perhaps the colour may be a bit confusing because they would look similar to soul lanterns, maybe they could use two gold nuggets which would add a golden accent to the frame as to distinguish the two?

Did a mockup of the texture, perhaps it could be used

Will try to look at this and see how the textures work when I next get around to working on this mod.

The texture you provided seems to work well

So I forgot to actually look at this for the 1.19.2 release I just made, but I am actively implementing it into the 1.20 branch so that when the mod eventually is released for 1.20.1 it will have these.