Binance Faces US Sanctions Probe Over Alleged Iran Trading Links
US prosecutors are investigating Binance over potential Iran sanctions violations, according to a Bloomberg report. The inquiry involves the Manhattan U.S. Attorney's Office and the Justice Department's Criminal Division, which is examining whether Binance knowingly permitted trades that may have breached US sanctions.
The investigation comes shortly after federal prosecutors in Manhattan brought a civil action seeking to forfeit cryptocurrency allegedly connected to Iranian oil sales. In this case, two Chinese companies used Binance trading accounts to launder around $61 million in proceeds from Iranian oil sales conducted through black-market channels associated with Iran's military.
Binance has stated that it has a zero-tolerance approach to sanctions violations and cooperates fully with law enforcement. However, the investigation raises questions about what Binance knew about the relevant activity and whether it took sufficient steps to prevent potential breaches.