Senators Urge Federal Agencies to Investigate Binance Compliance
Eleven US senators have written to Treasury Secretary Scott Bessent and Attorney General Pamela Bondi, demanding a comprehensive review of whether Binance has complied with US sanctions and anti-money laundering laws.
The letter cited reports that around $1.7 billion in digital assets flowed through the platform to entities linked to Iranian terrorism, including groups connected to the Houthis and the Islamic Revolutionary Guard Corps. Investigators also identified over 1,500 accounts potentially accessed by Iranian users, as well as possible activity aimed at circumventing Russian sanctions.
- $1.7 billion in assets traced to suspicious entities
- Over 1,500 accounts linked to Iran
- Compliance team members reportedly dismissed
It was also noted that some compliance staff who flagged suspicious activity were later laid off, and cooperation with law enforcement appeared to have decreased. Senators Chris Van Hollen and Ruben Gallego, along with nine others, expressed concerns about Binance's payment cards and stablecoin-related initiatives in the former Soviet region, warning they could be exploited to bypass sanctions.
Congressional Investigation Launched
Senator Richard Blumenthal separately launched a congressional inquiry this week, requesting internal documents and records from Binance CEO Richard Teng. Authorities are expected to report progress by March 13.
Binance denied the allegations, stating it has identified and reported suspicious activity to the authorities and enforces strict user verification measures to prevent access from Iranian users.