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US Treasury Demands Binance Compliance After Reports of $1 Billion Flowing to Iran-Linked Entities
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The US Department of the Treasury has privately demanded that Binance comply with a monitoring program established as part of a landmark 2023 settlement between the exchange and US authorities, according to a report by The Information. That settlement — which included a $4.3 billion agreement with both the Treasury Department and the US Department of Justice — required Binance to submit to a three-year compliance monitoring program overseen by government officials. The Treasury's demand follows reports that Binance facilitated approximately $1 billion in transactions to entities tied to Iran, and that the exchange subsequently fired employees who had flagged to executives that the funds were flowing through the platform.
A group of eleven US senators has since written to Treasury Secretary Scott Bessent urging a full report on Binance's adherence to the terms of the 2023 deal, adding congressional pressure on top of the regulatory demands already in motion.Binance has responded by affirming its cooperation with the monitoring program. "We welcome constructive feedback from the Treasury and view this oversight as an important part of continuously strengthening our compliance and anti-money laundering controls," a company spokesperson told Cointelegraph, adding that the exchange is providing the independent monitor with "full cooperation and transparency." Whether that statement satisfies regulators remains to be seen. The situation is unfolding against a politically charged backdrop: a UAE-based entity recently invested $2 billion in Binance using the USD1 stablecoin issued by World Liberty Financial, the company co-founded by President Donald Trump and his sons, and Trump pardoned former Binance CEO Changpeng Zhao in October 2025 — connections that have drawn growing scrutiny from lawmakers and watchdog groups concerned about conflicts of interest at the intersection of crypto, politics, and sanctions enforcement.
