Binance’s exchange troubles are far from resolved. The platform now faces allegations of a compliance lapse, the same type of issue that previously led to a $4 billion fine and the jailing of its founder, Changpeng Zhao (CZ), in 2024.
According to a Fortune report, Binance fired investigators who reportedly found evidence of $1 billion transactions in 2025 linked to sanctioned Iranian entities on the platform.
But the exchange has distanced itself from the report, with CZ calling it ‘paid FUD’ or the work of an ‘unhappy’ ex-employee.
Similarly, the current Binance CEO, Richard Teng, called the report ‘irresponsible’ but added that compliance is a never-ending effort.
“This is especially so with the increasing sophistication by bad actors employing tools and techniques to avoid detection. We will continue our tireless efforts to fight illicit crimes and uphold global integrity.”
Interestingly, Binance’s 2023 plea deal allowed the Department of Justice (DoJ) to establish independent compliance monitoring on the platform for up to 3 years (scheduled to end in 2027).
However, the reported $1 billion in Iranian transfers appeared to have slipped through the cracks. In 2025, TRM Labs, a blockchain security firm, established that Iran received over $10 billion in crypto.
And half of this was linked to the Islamic Revolutionary Guard Corps (IRGC), the armed military arm of the current regime. The ongoing geopolitical tensions and local social unrest forced both Iranian citizens and the government to opt for crypto.
According to TRM Labs’ Ari Redbord, the U.S. Treasury was concerned about the surge in Iranian crypto activity and evasion of the imposed sanctions.
It remains unclear whether the U.S. Treasury or the DoJ will follow up on the alleged Binance violations.
Despite the update, the exchange remained relatively stable, with no panic outflows. Over the past few days, the exchange saw some outflows amid market volatility.
However, its BTC reserves have surged from 651K BTC to 666K BTC, underscoring that investor confidence in the platform remained strong, as of press time.
Similarly, Binance’s native token, BNB, remained relatively stable but struggled to hold above $600 amid broader market weakness.
