Fresh allegations have surfaced claiming that $850 million in cryptocurrency transfers were made via payment networks connected to Iran through Binance. The Wall Street Journal based its report on blockchain data, compliance documents, and law enforcement records, asserting that these transactions continued through a single Binance account until early 2024. Binance’s management, however, has categorically denied the allegations.
Allegations center on Iranian businessman and suspicious network
The report accuses a payment network allegedly established by Iranian businessman Babak Zanjani of conducting nearly $850 million in crypto transfers over a two-year period through a Binance account. It claims much of these transactions occurred before sanctions were formally enforced, often routed through intermediary addresses.
The allegations also detail various transactions linked to more than 1,500 Iran-associated accounts, reportedly continuing until as late as 2026.
Glossary: Babak Zanjani is an Iranian entrepreneur widely known for being prosecuted and accused of establishing financial networks to bypass US and EU sanctions.
Binance CEO Richard Teng stated on X (formerly Twitter) that these allegations are “fundamentally incorrect.” According to Teng, the transactions in question took place before the sanctions were enacted, and no direct access to Binance’s platform was offered to Iranian users.
Richard Teng emphasized Binance’s robust compliance framework, stating, “No transactions involving sanctioned individuals have taken place on the Binance platform. The mentioned transactions occurred before official sanctions came into effect.”
Binance’s compliance strategy faces scrutiny
A spokesperson for Binance highlighted that the report exaggerates the company’s direct involvement, noting that tracing crypto transactions is complicated by intermediary wallets and decentralized addresses. Binance asserts that on-chain indirect flows do not mean the exchange directly served banned individuals or entities.
The company further clarified that most of the reported transaction volume did not originate from direct trades on the platform. Security agencies from several countries have previously investigated Binance for possible indirect sanctions violations.
US oversight and prior compliance breaches
In 2023, Binance agreed to a $4.3 billion fine with US authorities as part of a settlement over lapses in anti-money laundering controls and certain sanctions breaches.
Former CEO Changpeng Zhao resigned following the crisis. Currently, an independent monitor appointed by US regulators continues regular oversight of Binance’s compliance activities.
According to the latest WSJ report, Binance’s internal audit teams have previously flagged suspicious activity and noted considerable attention on accounts linked to Babak Zanjani. Binance, however, denies that internal scrutiny has pressured its staff, attributing employee departures to personal reasons.
Compliance upgrades reduce sanctioned transactions
Binance representatives report that since the 2023 settlement, the company’s compliance and risk teams have expanded to over 1,500 staff. Internal data indicates that the rate of transactions tied to sanctions dropped sharply from 0.284% in 2024 to nearly 0.009% by 2025.
According to Binance’s internal data, the implementation of advanced tracking systems led to a significant reduction in the rate of suspicious transactions directly associated with the platform.
| Year | Sanctioned Transaction Rate | Compliance Staff Count |
|---|---|---|
| 2023 | 0.284% | 1,000+ |
| 2025 | 0.009% | 1,500+ |
