- Binance has firmly denied a U.S. Senator’s allegations that it facilitated over $1.7 billion in transactions violating Iranian sanctions.
- The exchange asserts internal investigations led to the offboarding of accounts after law enforcement requests, contradicting recent media reports.
- This new scrutiny follows Binance’s 2023 guilty plea to U.S. anti-money-laundering and sanctions violations, resulting in a $4.3 billion penalty.
- Former CEO Changpeng “CZ” Zhao, who was sentenced to prison in that case, received a presidential pardon from Donald Trump in 2024.
Binance has issued a formal denial to U.S. Senator Richard Blumenthal, refuting claims it violated Iranian sanctions by processing over $1.7 billion in transactions. The exchange called the allegations, Iran-sanctions-financing-staff-b1648133?gaa_at=eafs&gaa_n=AWEtsqdCWQ4RwjhQqOGTuDKlnDU9OfU7Fvp4Kg4TKQe1eyBgBbEtNweUXGY-P35vUvU%3D&gaa_ts=699f0299&gaa_sig=hXHOY4_1J9XShhiJ-MDSOOe0YfVdBeVAeBotHd3WQk3O_LJnFGykSwt_yTRqoKkTKrbE5ZyYcRxwhCxcHbjTAw%3D%3D” target=”_blank” class=”sc-adb616fe-0 bJsyml”>which originated in a Wall Street Journal report, “demonstrably false” and “defamatory.”
In its detailed letter, the exchange stated it offboarded the Hong Kong-based partners Hexa Whale and Blessed Trust after law enforcement inquiries. These firms were allegedly central to the sanctions-evading activity identified in the reporting.
Binance emphasized it maintains a robust compliance program with over 1,500 employees. “When there is credible risk information, Binance investigates, mitigates, offboards accounts, and reports to appropriate authorities,” the firm wrote.
Consequently, the company insists its compliance process was effective in this instance. However, this investigation follows the exchange’s 2023 guilty plea for similar violations.
That previous case resulted in a historic $4.3 billion penalty for Binance. Former CEO Changpeng Zhao served a four-month prison sentence before receiving a pardon.
✅ Follow BITNEWSBOT on Telegram, Facebook, LinkedIn, X.com, and Google News for instant updates.
