Binance Denies WSJ Claim of $850M Iran Crypto Flows
Binance CEO Richard Teng rejects a Wall Street Journal report alleging the exchange processed $850 million in transactions linked to sanctioned Iranian financier Babak Zanjani. Teng claims the reporting is inaccurate and that flagged activity occurred before sanctions. Binance faces ongoing regulatory scrutiny.
Quick Take
Binance CEO calls WSJ report "fundamentally inaccurate" on Iran-linked transactions.
$850M allegedly moved through accounts tied to sanctioned financier Babak Zanjani.
Binance internal alerts reportedly flagged accounts but they remained active.
Exchange previously pleaded guilty to AML violations and paid $4.3B fine.
Market Impact Analysis
BearishAllegations of sanction evasion could increase regulatory pressure on Binance and dampen market sentiment.
Speculation Analysis
Key Takeaways
- Binance CEO Richard Teng calls WSJ's report on $850M in Iran-linked transactions "fundamentally inaccurate."
- $850 million allegedly moved through Binance accounts tied to sanctioned financier Babak Zanjani and his network.
- Internal compliance alerts at Binance reportedly flagged the accounts but they remained operational for over a year.
- The crypto exchange pleaded guilty to AML violations in 2023 and paid a historic $4.3 billion fine.
- Regulatory pressure intensifies as the DOJ probes whether Binance facilitated Iranian sanctions evasion post-settlement.
What Happened
Binance CEO Richard Teng forcefully denied a Wall Street Journal investigation that claimed the exchange served as a conduit for $850 million in transactions benefiting sanctioned Iranian entities. The WSJ report, published Thursday, identified Babak Zanjani—a financier re-sanctioned by the U.S. in January—as the architect of a clandestine crypto network funneling funds through Binance to Iran's Islamic Revolutionary Guard Corps. Teng, in a Friday social media post, dismissed the story as "fundamentally inaccurate," stating that flagged activity occurred before sanctions were imposed and that Binance had already investigated the issues prior to being contacted by the Journal. The exchange has since filed a defamation lawsuit against the publication.
The Numbers
The WSJ report alleges over $850 million moved through accounts belonging to Zanjani, his sister, romantic partner, and a company director—all operating from shared devices. Binance's own systems detected access from Tehran in late 2024, triggering over a dozen internal alerts, yet the accounts remained active for more than a year. Additionally, Iran’s central bank purportedly shifted $107 million in crypto into Binance in 2025, while another $260 million in direct transactions between Binance accounts and Iranian terrorist financiers was flagged by foreign law enforcement during 2024–2025. Binance previously pleaded guilty to anti-money laundering failures and paid a $4.3 billion fine in 2023.
Why It Happened
The controversy arrives as Binance grapples with the fallout from its historic 2023 settlement, which mandated a compliance overhaul. Critics argue that despite pledging a zero-tolerance policy, the exchange's internal controls may still fall short. The WSJ claims the fund flows resumed shortly after the settlement, putting Binance under renewed scrutiny. A Justice Department investigation into whether Binance allowed Iran to evade sanctions post-plea adds legal jeopardy. Binance asserts its compliance program is "best-in-class" and that it cooperates with regulators, but the report's timing amplifies doubts about crypto exchanges' ability to police illicit finance at scale.
Broader Impact
The allegations, if proven, could severely damage Binance's reputation and invite harsher U.S. government actions. A second major sanctions breach could lead to larger fines, tighter oversight, or even restrictions on U.S. market access. The legal battle with the WSJ may set a precedent for how crypto firms manage media relations. For the wider industry, the case underscores the persistent challenge of enforcing compliance in decentralized finance, potentially accelerating calls for stricter global crypto regulations.
What to Watch Next
- The DOJ investigation's progress and any potential charges or new settlement terms related to post-2023 conduct.
- Outcome of Binance's defamation lawsuit against the Wall Street Journal, which could reveal internal compliance documents.
- Regulatory responses, including whether U.S. or international bodies impose additional compliance mandates or penalties.
This article is for informational purposes only and does not constitute financial advice.
Always late to trends?
Join for the latest news, insights & more.
Disclaimer: Bytewit is an independent media outlet that delivers news, research, and data.
© 2026 Bytewit. All Rights Reserved. This article is for informational purposes only.
