Binance Denies WSJ's $850 Million Iran-Linked Transaction Allegation

BlockBeats News, May 23rd, WSJ reported that Binance was accused of processing around $850 million worth of transactions related to an Iranian sanctions evasion network over two years, which ultimately flowed to the Islamic Revolutionary Guard Corps (IRGC) in Iran.

In response, Binance CEO Richard Teng posted on X platform to deny the report, stating that the report was "fundamentally inaccurate," emphasizing that Binance would not allow sanctioned entities to transact, and indicating that the suspicious activities took place before the entities in question were sanctioned by the U.S.

The report identified key figure as Iranian businessman Babak Zanjani, whose related companies and associated accounts were alleged to have operated through a single device to form a clandestine payment network on the Binance platform. The report also mentioned that Binance's internal compliance system had identified unusual access from Tehran by the end of 2024, triggering multiple risk alerts, but the related accounts were not promptly closed.

WSJ further noted that the Central Bank of Iran and related entities had also utilized Binance for fund flows between 2024 and 2025, including approximately $107 million and other cross-border crypto transactions.

On Binance's part, they reiterated that their compliance system is "industry-leading" and emphasized that they had continued to strengthen their risk management mechanisms after pleading guilty in 2023 and paying a $4.3 billion settlement. Additionally, Binance has filed a defamation lawsuit against WSJ regarding the report and denied that the U.S. Department of Justice is investigating the matter.