The US Department of Justice is reportedly investigating the use of Binance to evade sanctions, according to a report released on Wednesday. The Wall Street Journal.
Citing sources familiar with the matter, d WSJ According to an earlier report by the newspaper, reports say authorities have contacted people with knowledge of transactions that allegedly diverted more than $1 billion to Iran-backed terrorist groups. According to the speech WSJAlong with the report, authorities are seeking interviews and gathering evidence, although the paper could not determine whether the investigation targets Binance itself or customers who used the exchange.
Binance spokesperson said about this WSJ The story said the exchange “apparently did not deal directly with any proscribed entities” and that it “discovered a complex, multifaceted pattern of financial activity” in which ties to Iran were “identified and approved only after Binance initiated an investigation and stepped in with law enforcement to shut down the network.”
Wednesday’s story follows an earlier report The Wall Street Journal Binance had allowed $1.7 billion worth of transactions on its platform linked to violations of sanctions against Iran and Russia.
A previous report by lucky Binance has fired members of its compliance team, citing multiple sources and internal documents, after it found evidence that Iran-linked entities received more than $1 billion through exchanges between March 2024 and August 2025.
Binance responded strongly to the allegations of the DOJ investigation, filing a lawsuit against it Wall Street Journal Wednesday for “false and defamatory reporting” on the story. Last week, Benness denied violating U.S. sanctions on Iran in a letter sent to U.S. Sen. Richard Blumenthal (D-Conn), who launched an investigation into the exchange after media reports of alleged violations.
In a press release, Binance’s head of global litigation, Dugan Bliss, blamed the result for “significant reputational damage and commercial consequences.” WSJWith the report, adding that the case was a “necessary step to defend itself against misinformation” and that the newspaper was held accountable for “prioritizing clicks over journalistic integrity.”
Binance Denies $1.7B in Iran Sanctions Violations Amid US Senate Investigation
The exchange added that it has established “one of the largest and most robust compliance programs” in the crypto industry, citing “measurable improvements” including the freezing of hundreds of millions of dollars related to illegal activity. It claimed that sanctions-related exposures fell by 96.8% from January 2024 to July 2025, and direct exposure of Iran’s four largest crypto exchanges fell by 97.3% between January 2026 and January 2026.
Decrypt Binance has been reached out for comment and will update this article if the exchange responds.
