US Investigates Binance Over Alleged Iran-Linked Sanctions Violations

The US government is intensifying its scrutiny of Binance, the Dubai-based cryptocurrency exchange, amid allegations that it may have knowingly facilitated trades linked to Iran, thereby violating US sanctions. The investigation is being led by the Manhattan US attorney’s office and the Justice Department’s Washington division, as reported by Bloomberg.

Binance has publicly stated its commitment to complying with law enforcement and has denied any wrongdoing, asserting that it does not tolerate sanctions violations. The exchange's response comes after earlier reports from major media outlets, including The Wall Street Journal and Forbes, indicated that two Chinese companies had used Binance to execute billions of dollars in trades as part of a strategy to circumvent sanctions and allow Iran to continue its oil sales.

In March, the Department of Justice initiated a probe into these Iran-linked funds, coinciding with Binance’s defamation lawsuit against the Wall Street Journal. Recently, the US government seized $61 million in USDT, allegedly linked to Iran’s oil trading operations, which are said to have generated approximately $1.5 billion in crypto proceeds for Iran's military and nuclear programs.