Binance and The Wall Street Journal Clash Again Over Alleged Iran Sanctions Evasion

The long-standing conflict between Binance, the world’s largest cryptocurrency exchange, and The Wall Street Journal (WSJ) has intensified following a new report accusing Binance of facilitating $850 million in transactions for Iran to circumvent international sanctions. This latest development comes on the heels of a defamation lawsuit filed by Binance against the WSJ earlier this year, setting the stage for a heated dispute with both parties vehemently defending their positions.

WSJ Alleges Binance as a Sanctions Evasion Channel

According to the WSJ’s latest exposé, which cites findings from Binance’s internal compliance investigations, an Iranian financier named Babak Zanjani, self-proclaimed as an “anti-sanctions expert,” allegedly leveraged Binance to establish a sophisticated financial network. This network reportedly provided an underground channel for the Iranian regime, handling an estimated $850 million over a two-year period. A significant portion of these funds, the report claims, was concentrated within a single trading account that remained active until as recently as January this year.

The investigation further details that Zanjani spearheaded this illicit financial web. His close relatives, partners, and company directors were reportedly involved, using the same devices to access multiple accounts and transfer funds. While Binance’s own investigation team had flagged this “multiple accounts sharing a device” pattern as highly abnormal and a significant risk indicator, the WSJ report suggests that the primary account continued to operate for at least 15 months thereafter.

Binance CEO Richard Teng Rejects Claims as “Baseless”

In a swift and forceful rebuttal, Binance CEO Richard Teng took to social media platform X (formerly Twitter) to challenge the WSJ’s assertions. Teng stated that at the time the transactions in question occurred, the individuals involved were not yet listed on any sanctions lists. He further emphasized that Binance had proactively initiated its own internal investigations into the matter and had provided “objective facts” to The Wall Street Journal even before the media outlet’s report was published.

A Binance spokesperson echoed Teng’s sentiments, reiterating the exchange’s “absolute zero tolerance for any transactions with sanctioned entities.” The spokesperson criticized the WSJ’s reporting, accusing it of “severely exaggerating” Binance’s role by conflating broad blockchain network fund movements with actual, platform-specific internal flows such as deposits, withdrawals, trading volumes, and account turnover. Richard Teng unequivocally stated, “Binance has absolutely zero tolerance for any illegal activities.”

A History of Confrontation and Ongoing Regulatory Scrutiny

This is not the first time Binance and The Wall Street Journal have been at loggerheads. In February, the WSJ published a similar report concerning Iranian financial flows through Binance, alleging that the exchange had dismissed internal compliance investigators. Binance vehemently denied these claims, deeming them “purely fictitious,” and formally filed a defamation lawsuit against the WSJ in March, a case that remains ongoing.

Beyond this media skirmish, Binance continues to face significant regulatory pressure in the United States. The U.S. Department of Justice (DOJ) is actively investigating whether Iran utilized Binance to bypass U.S. economic sanctions. Furthermore, in May, the U.S. Treasury Department privately mandated Binance to strictly adhere to the independent compliance monitoring plan established as part of its 2023 plea agreement. This directive reportedly stemmed from new intelligence suggesting that over $1 billion in funds might still flow through Binance to entities linked to the Iranian regime between 2024 and 2025.