Eleven U.S. senators have requested federal authorities investigate whether cryptocurrency exchange Binance is complying with U.S. sanctions and Anti-Money Laundering (AML) requirements. The lawmakers urged a "prompt, comprehensive review" of Binance's compliance controls and its adherence to settlement agreements made in 2023.
Concerns stem from allegations that approximately $1.7 billion in digital assets flowed through Binance to Iranian entities linked to terrorism, including groups connected to the Houthis and the Islamic Revolutionary Guard Corps. Investigators also reportedly identified over 1,500 accounts accessed by users in Iran and potential activity linked to Russian sanctions evasion.
Senators expressed worry that newer Binance products, such as payment cards and stablecoin initiatives in former Soviet Union regions, could facilitate sanctions evasion. They have asked agencies to report by March 13 on steps taken to examine the exchange's conduct.
Binance has rejected allegations of facilitating illicit transactions, stating it identifies and reports suspicious activity to authorities and does not permit Iranian users. The company asserts that recent media coverage has misrepresented its operations.
