Prosecutors scrutinize Binance over potential Iran sanctions breaches

What investigators are digging into

Prosecutors are assessing if Binance allowed certain activity tied to Iran to pass through its exchange, and one focus is whether any of it happened with the company's knowledge. The review is being handled by the Manhattan U.S. attorney's office, with the Justice Department's criminal division also involved. The exact transactions under the microscope were not identified. Both the DOJ and the Manhattan office declined to comment.

For context, Justice Department probes do not always culminate in charges.

Binance's track record with U.S. authorities

Nearly three years ago, Binance entered a guilty plea for failing to meet U.S. banking and sanctions requirements and agreed to pay $4.3 billion. In its 2023 resolution with U.S. agencies, the company committed to bolstering its controls and was assigned two corporate monitors.

Under the deal, co-founder Changpeng Zhao acknowledged he had not kept an effective anti-money laundering program in place, resigned as CEO, and spent four months in prison. Zhao received a pardon last year from President Donald Trump.

Since then, Binance has stressed that it works closely with law enforcement and regulators. In a February blog post, it said that over 1,500 staffers - roughly a quarter of its global workforce - were dedicated to compliance.

Staying informed helps you protect and grow your savings through uncertain times. Join Briefs Finance CEO Jaspreet Singh on September 29th for a FREE live investor workshop, How to Profit From A Dollar That's Losing its Value, where he shows how we're spotting investment opportunities as the dollar falls. Save your spot.

Recent Iran-related moves and Binance's response

In recent months, prosecutors have intensified Iran-related cases amid the ongoing U.S.-Israel conflict with Iran. Last week, the Manhattan U.S. attorney's office moved to seize $61 million they contend came from Iranian black-market oil sales and was laundered through Binance. In that action, they did not allege wrongdoing by the exchange itself.

Following prosecutors' Sept. 14 filing, Binance stated that it blocks dealings with sanctioned parties and vowed to keep cooperating with authorities. Prosecutors also said two Hong Kong-registered firms had misrepresented what their businesses do.

Separate reporting in February said an internal Binance review found that more than $1 billion flowed through the platform to entities linked to Iran. Binance pushed back on parts of that coverage, while saying it had worked with law enforcement and that its compliance program is robust.

Binance has consistently defended its approach. "We maintain a zero-tolerance policy for sanctions violations," the company said.

Why this matters for your money

Legal clouds can hang over a company for a while, even if a case never reaches court. Between the prior $4.3 billion settlement, two corporate monitors, fresh forfeiture efforts tied to Iran, and ongoing scrutiny of compliance, Binance remains in the headlines. If you hold crypto or use large exchanges, pay attention to official filings and company statements - they shape how platforms operate and, ultimately, how smoothly you can move your money.

A steady approach to risk and goals keeps your wealth working for you. Our CEO Jaspreet Singh is hosting a FREE live investor workshop, How to Profit From A Dollar That's Losing its Value, on September 29th. Sign up free to join him live.