Binance CEO Richard Teng has rejected a Wall Street Journal report that claims the exchange processed $850 million in transactions linked to a sanctioned Iranian financier, with funds ultimately reaching Iran’s Islamic Revolutionary Guard Corps.
Teng called the reporting “fundamentally inaccurate,” stating Binance never permitted transactions with sanctioned individuals and that any flagged activity occurred before those individuals were placed under US sanctions. He said Binance had investigated the issues before the Journal contacted the company.
The Journal identified Babak Zanjani, re-sanctioned by the US in January, as the central figure in a secret crypto payment network that ran $850 million through Binance accounts over two years. Zanjani’s firm Zedcex, along with accounts belonging to his sister, romantic partner and a company director, all operated from the same devices.
The Journal reported that Binance’s internal compliance flagged the Zedcex account after detecting access from Tehran in late 2024. The account remained open for over a year, triggering numerous internal alerts, and Binance’s investigators recommended it be shut down, but it stayed active.
Binance pleaded guilty in 2023 to anti-money laundering and sanctions violations, paying a $4.3 billion fine and pledging to overhaul its compliance. The Journal claims the alleged Iranian fund flows resumed shortly after. Binance has filed a defamation lawsuit against the publication, denying any knowledge of the reported DOJ investigation.