The US Department of Justice is reportedly investigating Iran’s use of Binance for alleged sanctions evasion.
The DOJ is investigating whether Iran used Binance to evade US sanctions and whether transactions on the exchange helped route funds to networks linked to Iran-backed groups, including Yemen’s Houthi militants, the Wall Street Journal reported Wednesday, citing company documents and people familiar with the matter.
The WSJ said it remains unclear whether the DOJ is investigating Binance itself, its users, or both. Officials have contacted people with knowledge of the transactions to seek interviews and gather evidence, the report said.
The probe follows earlier reporting that Binance dismantled an internal investigation into roughly $1 billion that flowed through the platform to a network tied to Iranian proxy groups.
The DOJ had not confirmed the investigation at the time of publication.
Binance denies accusations, files a defamation suit against The WSJ
Binance categorically denied claims that it dismantled any compliance investigation in a statement to Cointelegraph, calling The WSJ report false.
It has also filed a defamation lawsuit against the publication in the Southern District of New York, seeking damages and legal fees, demanding a jury trial.
The company said its internal probe continued and uncovered a sophisticated, multi-jurisdictional pattern of financial activity spanning Asia, the Middle East and other regions.
“We are not aware of any investigations. But as always, we are collaborating with regulators and law enforcement to investigate the facts,” a spokesperson for Binance said.
The exchange also cited a blog post with a full examination of the situation, following up on its statement on Feb. 23, which details the fund flows and addresses what Binance describes as false claims made against the platform.
Related: CZ says CEXs have ‘zero motive’ to aid terrorists as court dismisses terrorism suit
US Senate Democrats launched a probe in February, and Binance has repeatedly denied any wrongdoing.
Binance pleaded guilty in 2023 to violating US anti-money-laundering and sanctions laws, paying a $4.3 billion fine and agreeing to operate under US oversight.
Former Binance CEO Changpeng “CZ” Zhao pleaded guilty to related charges and spent four months in jail in 2024. In October 2025, CZ received a pardon from US President Donald Trump.
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