The US Justice Department has launched an inquiry into Iran's alleged use of Binance, the world's largest cryptocurrency platform, to evade US sanctions and potentially fund terrorist organizations tied to the IRGC. This examination is reportedly based on company documents and accounts from individuals with direct knowledge of the transactions. Authorities are seeking interviews and evidence related to Iranian-linked financial flows through the exchange.
Binance has stated it "categorically did not directly transact with any sanctioned entities." The investigation places the company back under intense US regulatory scrutiny. This comes months after its founder received a presidential pardon and follows Binance's 2023 guilty plea for breaching US sanctions, which resulted in a $4.3 billion penalty and ongoing oversight.
Adding to the pressure, US Senator Richard Blumenthal has opened a formal inquiry into Binance's handling of Iranian transactions, citing nearly $2 billion in flows to sanctioned entities. He questioned the exchange's compliance with US sanctions and banking laws.