Binance Faces New Allegations Over $850M in Iran-Linked Crypto Transactions

TLDR

• The Wall Street Journal reported $850 million in crypto transactions flowed through Binance to networks linked to Iran’s Islamic Revolutionary Guard Corps over two years.
• Iranian financier Babak Zanjani used his firm Zedcex to run the payment network through a single Binance account that stayed open despite over a dozen internal alerts.
• Binance’s own compliance investigators recommended the accounts be shut down and flagged Iranian access, but the accounts remained active for more than 15 months.
• Iran’s central bank reportedly moved $107 million into Binance accounts in 2025, and a foreign law enforcement agency tracked $260 million in direct transactions tied to sanctioned Iranian entities.
• Binance CEO Richard Teng denied the claims, calling the reporting “fundamentally inaccurate,” and the exchange has filed a defamation lawsuit against the Journal.

Binance, the world’s largest crypto exchange, is again under scrutiny after the Wall Street Journal published a report claiming $850 million in transactions linked to a sanctioned Iranian financier flowed through the platform over two years.

The Journal identified Babak Zanjani, re-sanctioned by the US in January, as the operator of a crypto payment network running through Binance accounts. Zanjani’s firm, Zedcex, along with accounts belonging to his sister, romantic partner, and a company director, were all accessed from the same devices — a pattern Binance’s own investigators flagged as evidence of sanctions evasion.

Internal Alerts Ignored, Investigators Say

Binance’s compliance systems detected the Zedcex account was being accessed from Tehran in late 2024. Despite triggering more than a dozen internal alerts, the account reportedly stayed open for over 15 months. Binance investigators recommended the accounts be shut down and reported to authorities, but according to the Journal, that did not happen.

Beyond the Zanjani network, the Journal reported that Iran’s central bank moved $107 million in crypto into Binance accounts in 2025. A foreign law enforcement agency tracked roughly $260 million in direct transactions between Binance accounts and Iranian entities during 2024 and 2025.

Binance pleaded guilty in 2023 to anti-money laundering and sanctions violations and paid a record $4.3 billion fine. The exchange pledged to overhaul its compliance systems as part of the plea deal. However, the Journal says the alleged Iranian fund flows resumed shortly after.

Binance Pushes Back

Binance CEO Richard Teng rejected the claims in a post on X, calling the reporting “fundamentally inaccurate.” He said Binance never permitted transactions with sanctioned individuals, and that any flagged activity occurred before those individuals were placed under US sanctions.

The exchange has filed a defamation lawsuit against the Journal, seeking damages and a jury trial. Binance told Cointelegraph it continues to cooperate with regulators and law enforcement, and denied knowledge of a Department of Justice investigation that was separately reported in March.

In February, the Journal had alleged Binance shut down an internal investigation into roughly $1 billion that flowed to networks linked to Iranian proxy groups. Binance denied that, saying its internal probe was ongoing.

The US Treasury has warned financial institutions they could face consequences for facilitating transfers on behalf of Iran, and froze $344 million in Iranian-owned cryptocurrency as part of its “Economic Fury” operation.

Treasury officials also met with Binance executives in March to discuss compliance concerns tied to the 2023 plea deal, including transactions involving Iran, according to people familiar with the meeting.

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