Cryptocurrency exchange Binance has formally responded to a congressional inquiry, denying allegations it facilitated transactions to Iranian entities. In a letter to U.S. Senators, the company called media reports on the matter “demonstrably false” and defended its employee termination policies. The exchange stated its internal investigation led to the removal of certain entities from its platform.
Cryptocurrency exchange Binance has officially responded to an inquiry launched by a group of 11 U.S. senators. The company largely denied allegations of facilitating transactions to Iranian entities and provided details on employee terminations.
In a Friday letter, Binance said the inquiry was based on reports it called “demonstrably false, unsupported by credible evidence, and defamatory in several material respects.” The exchange referred to media reports alleging it had facilitated more than $1 billion in crypto transactions to Iran-connected entities called Hexa Whale and Blessed Trust.
According to Binance, the company launched an investigation in response to law enforcement inquiries. This resulted in the removal of the entities from the platform.
“To our knowledge, no Binance account transacted directly with an Iran-based entity,” stated the exchange. The company addressed reports about dismissed employees who brought the investigation to executives’ attention. Binance said some employees resigned while another was terminated for disclosing internal user information.
“Binance takes seriously the privacy of its users and has no tolerance for employees violating that trust by sharing internal information externally,” the letter stated. The senators had asked Treasury Secretary Scott Bessent and Attorney General Pamela Bondi whether they intended to investigate Binance. As of Friday, neither official had publicly commented on the matter.
In 2023, Binance reached a settlement with U.S. authorities, agreeing to pay $4.3 billion to resolve violations of sanctions and Anti-Money-Laundering laws. Then-CEO Changpeng “CZ” Zhao stepped down as part of the deal and pleaded guilty to one felony charge. Related reporting also notes that U.S. President Donald Trump later issued a pardon for Zhao in October.
