The U.S. Department of Justice (DOJ) is reportedly investigating whether Iranian actors used the cryptocurrency exchange Binance to bypass U.S. sanctions and route funds through the platform.
According to a report by The Wall Street Journal, U.S. officials are examining whether transactions conducted on Binance may have facilitated financial flows linked to networks associated with Iran-backed groups, including Yemen’s Houthi movement.
We have filed a complaint against the @WSJ for publishing a false and defamatory report, and to shine the light of truth.
We view this suit as a necessary step to defend ourselves against misinformation, hold the WSJ accountable for prioritizing clicks over journalistic… pic.twitter.com/c4BPAi95Kh
— Binance (@binance) March 11, 2026
Report details alleged sanctions evasion
The report, published Wednesday, cited company documents and people familiar with the matter. Investigators are reportedly interviewing individuals with knowledge of the transactions to gather more details about the potential sanctions violations.
However, it remains unclear whether the DOJ’s investigation directly targets Binance, specific users of the exchange, or both.
The probe follows earlier reporting that Binance allegedly shut down an internal compliance investigation that had tracked roughly $1 billion in transactions flowing through the platform to a network believed to be associated with Iranian proxy groups.
Binance denies allegations and files defamation lawsuit
Binance has strongly rejected the accusations, stating that claims it dismantled any compliance investigation are inaccurate.
In a statement, the exchange said it had not halted its internal review, describing the situation as a complex, ongoing investigation into financial activity spanning several regions, including Asia and the Middle East.
“We are not aware of any investigations,” a Binance spokesperson said, adding that the company continues to cooperate with regulators and law enforcement authorities worldwide to clarify the facts.
US Senate Democrats launched a probe in February, and Binance has repeatedly denied any wrongdoing. The company has also filed a defamation lawsuit against The Wall Street Journal in the U.S. District Court for the Southern District of New York, seeking damages, legal costs, and a jury trial.
The latest scrutiny comes as Binance continues to face regulatory pressure following its 2023 settlement with U.S. authorities, during which the exchange admitted to violating anti-money laundering and sanctions regulations. The company paid a $4.3 billion penalty and agreed to operate under enhanced U.S. oversight.
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