Manhattan US Attorney probes Binance over Iran sanctions violations
In brief
- Manhattan US Attorney's Office investigates Binance for alleged Iran sanctions violations
- DOJ Criminal Division in Washington also involved in the probe
- Investigation follows March reports of DOJ examining Iran's Binance use for sanctions evasion
- Binance maintains zero-tolerance sanctions policy and cooperates with law enforcement
Investigation Scope Clarified
The Manhattan US Attorney's Office is investigating whether Binance knowingly allowed trading that violated US sanctions on Iran, according to Bloomberg. The Justice Department's Criminal Division in Washington is also involved in the investigation.
The probe represents a significant escalation of scrutiny against the world's largest crypto exchange. It's the first time prosecutors have clarified the investigation's scope since the initial reports emerged.
Timeline and Prior Reporting
A Justice Department investigation into Binance was first reported in March. In March, the Wall Street Journal reported that the DOJ was examining whether Iran used Binance to evade US sanctions.
At the time of the March report, it was unclear whether the DOJ was investigating Binance itself, its users, or both. The new reporting from Bloomberg clarifies that prosecutors are examining Binance's conduct directly, not just activity by Iranian users on the platform.
Binance's Response
Binance has denied wrongdoing. The exchange told Cointelegraph in March that it was not aware of any DOJ investigation at that time. More recently, a Binance spokesperson reiterated the company's compliance stance:
We maintain a zero-tolerance policy for sanctions violations. We fully cooperate with law enforcement, and we remain committed to rooting out and shutting down bad actors.
An investigation does not establish wrongdoing and may conclude without charges being filed. Binance has faced multiple regulatory probes in recent years but has not been charged with sanctions violations.
