Manhattan Prosecutors and DOJ Both Involved Binance, the world's largest cryptocurrency exchange, is facing a fresh wave of legal scrutiny in the United States. Federal prosecutors are invest
Binance, the world's largest cryptocurrency exchange, is facing a fresh wave of legal scrutiny in the United States. Federal prosecutors are investigating whether Binance violated US sanctions on Iran by not stopping certain trading on its platform, according to people familiar with the matter.The probe of Binance's compliance efforts is being handled by the Manhattan US Attorney's Office.The Justice Department's Criminal Division in Washington is also involved in the investigation.
The investigation is examining whether Binance knowingly allowed trading that violated US sanctions on Iran.The DOJ declined to comment, while the Manhattan US Attorney's Office could not immediately be reached for comment outside regular business hours.
This is not the first time Binance has faced scrutiny over potential Iran-linked activity. In March, the Wall Street Journal reported that the DOJ was examining whether Iran used Binance to evade US sanctions, citing company documents and people familiar with the matter.At the time, it was unclear whether the DOJ was investigating Binance itself, its users, or both.
The latest probe adds another layer of legal pressure on the exchange. Manhattan prosecutors have also filed a civil forfeiture complaint targeting roughly $61 million in crypto allegedly tied to Iranian black-market oil sales laundered through Binance accounts.Binance had previously reached a $4.3 billion settlement with US regulators in 2023 over violations of anti-money laundering and sanctions laws.
Binance pushed back on the characterisation of its compliance culture. A Binance spokesperson said the company maintains a zero-tolerance policy for sanctions violations and fully cooperates with law enforcement, adding that it remains committed to rooting out and shutting down bad actors.The statement did not directly address whether Binance is aware of the reported investigation.
It is worth noting that an investigation does not establish wrongdoing and may conclude without charges being filed.
Sources:Bloomberg: DOJ Probing Binance Over Potential Iran Sanctions ViolationsCoinTelegraph: Manhattan US Attorney Probing Binance Over Iran SanctionsCrypto Briefing: Federal Prosecutors Investigate Binance for Potential Iran Sanctions Violations
