Binance Allegedly Funded Iranian Entities, Internal Investigators Report
February 23, 2026 — The Guardian
New reports suggest that Binance, the world’s largest cryptocurrency exchange, may have facilitated billions of dollars in funding to Iranian-backed groups, raising serious questions about the company’s compliance with international sanctions.
Internal Investigation Uncovers Large Transfers to Iranian Accounts
According to a detailed report by the New York Times, Binance’s internal investigators uncovered evidence that Iranian individuals had accessed over 1,500 accounts on the platform. Among these, at least two accounts allegedly moved approximately $1.7 billion to entities supported by Iran, including Yemen’s Houthi militants, during 2024 and 2025. The Wall Street Journal corroborated these figures, underscoring the potentially significant scale of these transactions.
The internal Binance team reportedly alerted company executives to these suspicious activities. However, rather than receiving commendation for uncovering potential violations, at least four investigators faced disciplinary actions. Employees involved in the probe were either fired or suspended, charged with “violations of company protocol” related to handling sensitive client data.
Binance Denies Wrongdoing Amidst Allegations
In response to these revelations, a spokesperson for Binance provided a statement to The Guardian denying any breach of sanctions laws. The company also rejected claims that investigators faced retaliation or dismissal for raising compliance concerns. “No investigator was dismissed for raising compliance concerns or for reporting potential sanctions issues,” the statement emphasized.
Founder Changpeng Zhao’s Controversial Past
Changpeng Zhao, Binance’s founder, has been a contentious figure throughout the company’s rise. Launched in 2017, Binance quickly grew to dominate the crypto exchange market. In 2023, Zhao pled guilty to money laundering charges, resigned, and was sentenced to four months in prison. The guilty plea also entailed a $50 million fine and a prohibition on involvement with Binance moving forward.
Despite these serious charges, Zhao was pardoned by former President Donald Trump in October 2025. Trump downplayed the severity of Zhao’s offenses, claiming he was unjustly targeted by the Biden administration. Notably, Trump’s family crypto-related business, World Liberty Financial, has maintained ties with Binance, and Zhao participated in a conference at Trump’s Mar-a-Lago estate earlier this month.
Binance’s Legal Settlements and Pledges
Binance itself pled guilty in 2023, agreeing to pay a criminal fine nearing $1.81 billion and an additional $2.51 billion forfeiture to resolve three criminal charges. The company committed to enhancing internal monitoring and vowed to aggressively combat illicit activity, explicitly including customer accounts originating from sanctioned countries such as Iran.
Broader Geopolitical Implications
The reported financial support to Iranian entities via Binance coincides with ongoing tensions between the United States and Iran. Some of the Iranian groups allegedly funded are designated adversaries whom the previous Trump administration reportedly considered target for military strikes. The White House has not yet issued a formal response to these allegations.
Conclusion
These new revelations highlight ongoing challenges in regulating cryptocurrency exchanges and ensuring compliance with international laws designed to prevent funding of hostile actors. As investigations continue, Binance faces intensified scrutiny over its compliance practices and corporate governance.
Key Topics: Binance, Cryptocurrency, Iran, Sanctions, Changpeng Zhao, Houthi militants, Donald Trump, Money Laundering