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

On May 23, The Wall Street Journal (WSJ) reported that cryptocurrency exchange Binance processed roughly $850 million in transactions linked to an Iranian sanctions evasion ring over two years, with the funds ultimately flowing to Iran’s Islamic Revolutionary Guard Corps (IRGC). In response, Binance CEO Richard Teng took to X to push back on the report, calling it “fundamentally inaccurate.” Teng emphasized Binance’s policy barring sanctioned entities from transacting on its platform, and noted that the suspicious activity in question occurred before the relevant parties were sanctioned by the U.S. government. The WSJ’s piece identified Iranian businessman Babak Zanjani as the central figure in the alleged network, claiming Zanjani’s companies and associated accounts operated through a single device to build a covert payment system on Binance. The outlet also stated Binance’s internal compliance systems flagged unusual access from Tehran by the end of 2024, triggering multiple risk alerts—but the accounts involved were not shut down promptly. Additionally, the WSJ noted that Iran’s central bank and related entities used Binance for fund transfers between 2024 and 2025, including roughly $107 million in cross-border crypto transactions. For its part, Binance is standing by its compliance framework, calling it “industry-leading.” The exchange also pointed to steps it has taken to strengthen risk management since pleading guilty in 2023 and paying a $4.3 billion settlement to U.S. authorities. Further, Binance has filed a defamation lawsuit against WSJ over the report, and has denied that the U.S. Department of Justice is investigating the matter at hand.