Binance Linked to Iran Military Funding via Billions in Transacti
· news
Iran Reportedly Funneled Billions Through Binance to Fund Its Military
The latest revelation that Iranian entities have found ways to funnel billions through Binance to fund their military is a stark reminder of the ongoing cat-and-mouse game between Tehran and the global financial system. The fact that Binance, which had previously pleaded guilty to violating Iran sanctions, continued to turn a blind eye to these transactions raises more questions than answers about its commitment to compliance.
Internal reports suggest that Babak Zanjani, an Iranian with a reputation for being an “antisanction operator,” made $850 million in transactions on the exchange until as recently as December 2025. This is on top of another $1.7 billion that may have been moved through Binance, as reported earlier by The New York Times and WSJ. What’s alarming is that Binance itself flagged these alleged activities, yet Zanjani’s main account continued to operate for as long as 15 months.
Binance’s involvement in this scheme raises serious concerns about the company’s due diligence procedures. As a major player in the cryptocurrency space, Binance has a responsibility to ensure its platform is not being used for illicit activities. However, it appears that the company has failed miserably in this regard, allowing billions of dollars to be laundered through its exchange.
Binance’s claim that these transactions “have nothing to do with the Binance platform” only adds to suspicion. The company’s statement that it didn’t allow any transactions with sanctioned individuals or wallets rings hollow given the evidence presented in internal compliance reports. Moreover, Binance declined to answer questions about specific transactions, further fueling speculation.
This latest development is part of a larger pattern of Iranian entities exploiting loopholes in the global financial system to fund their military activities. The country’s history of using shell companies and offshore accounts to circumvent sanctions is well-documented. What’s concerning is that Binance, despite its previous guilty plea and $4.3 billion penalty, seems to have ignored warnings and recommendations to prevent these Iranian money laundering schemes.
The Democratic Senator Richard Blumenthal’s probe into potential Binance sanctions violations uncovered by the company’s own internal investigators is a welcome development. It’s high time that those responsible for this egregious failure of due diligence are held accountable. The involvement of high-profile figures like Changpeng Zhao, who was pardoned last year by Trump after serving prison time on federal money laundering charges associated with Iran sanctions, also raises questions about the influence of politics in these cases.
In the broader context, this story highlights the need for greater regulation and oversight in the cryptocurrency space. The lack of transparency and accountability has created a fertile ground for illicit activities to flourish. It’s time for major players like Binance to take responsibility for their actions and ensure that their platforms are not being used to facilitate money laundering.
The cat-and-mouse game between Iran and the global financial system will continue until stricter measures are put in place. The question is, what’s next for Binance and its role in facilitating Iranian military funding?
Reader Views
- RJReporter J. Avery · staff reporter
"Binance's continued failure to address its compliance issues is not just a matter of regulatory oversight, but also a ticking time bomb for global stability. The fact that Iran's military funding has been funneled through Binance using cryptocurrency raises serious concerns about the use of this supposed 'decentralized' technology by rogue states and terrorist organizations. It's high time regulators take a closer look at Binance's business model and crack down on its blatant disregard for sanctions, before it's too late."
- CMColumnist M. Reid · opinion columnist
Binance's willful blindness to sanctioned transactions is hardly surprising given its business model relies on unregulated markets. But what's alarming is how easily this cat-and-mouse game with Iran can spread to other exchanges and jurisdictions, creating a slippery slope where bad actors exploit the gray areas of cryptocurrency regulation. The focus should shift from Binance's compliance failures to the broader regulatory environment that enables these transactions in the first place – or else we'll be stuck chasing shadows while rogue players continue to capitalize on our systemic weaknesses.
- ADAnalyst D. Park · policy analyst
Binance's flagrant disregard for sanctions is not just a one-off mistake, but a systemic failure of its compliance procedures. What's particularly concerning is that these transactions have been allowed to continue despite Binance's internal reports allegedly flagging them. It's high time for regulators to demand greater transparency from cryptocurrency exchanges and hold them accountable for their role in facilitating illicit activities. Furthermore, the lack of clear guidelines on sanctions compliance in the crypto space has created a regulatory vacuum that companies like Binance are exploiting to further their interests.