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Political pressure is building around Binance in the United States. The world’s leading crypto platform has broken its silence and openly challenged the US Senate investigation into alleged financial ties to Iran. Media accusations, international sanctions issues and power rivalry in Washington: this sensitive case puts the exchange of information at the center of the dispute between the crypto industry and regulators.
In short
- Binance officially responds to US Senate investigation into alleged financial ties to Iran.
- The stock exchange questions the credibility of the allegations and condemns the reports as defamatory.
- Binance states that no account has transacted directly with an entity based in Iran.
- US senators are now awaiting a formal response from federal authorities.
Binance formally denies allegations linked to Iran
Binance on Friday sent an official response to an investigation launched by a group of 11 US senators in February as the conflict in Iran sends oil prices skyrocketing. In a letter sent to Senators Richard Blumenthal and Ron Johnson, members of the Permanent Subcommittee on Investigations, the platform questions the validity of allegations reported by several US media outlets.
He describes these publications as “manifestly false, lacking credible evidence and defamatory on several key points”.
The main elements of Binance’s answer revolve around the exact facts:
- The exchange reportedly facilitated more than one billion dollars in crypto transactions linked to Iranian entities, including Hexa Whale and Blessed Trust;
- Binance says it launched an internal investigation following requests from law enforcement;
- The said entities were removed from the platform at the end of this process;
- The exchange states: “to our knowledge, no Binance account has transacted directly with an entity based in Iran” ;
- Regarding employees presented as whistleblowers;
- Binance states that it strictly enforces its internal rules regarding data confidentiality.
This response aims to challenge both the financial allegations and the facts surrounding the internal management of the case.
A judicial and political history that puts Binance under pressure
The sequence comes as US political leaders await a federal response. Eleven senators behind the initiative have contacted Treasury Secretary Scott Bessent and Attorney General Pamela Bondi, asking them to clarify by March 13 whether the government plans to open an investigation targeting Binance. At this stage, the two officials have not made any public statement.
The case also reactivates the weight of the platform’s judicial history in the United States. In 2023, Binance reached a settlement with US authorities and agreed to pay $4.3 billion to end lawsuits related to violations of sanctions and anti-money laundering laws.
In this connection, its then CEO Changpeng Zhao pleaded guilty to criminal charges and served four months in prison. Former US President Donald Trump granted him a presidential pardon and legally lifted the ban from returning to the company’s leadership, although Zhao has publicly stated that he does not wish to become CEO again.
Meanwhile, indirect ties between Binance and the presidential entourage are fueling political concerns. The United Arab Emirates-based company, MGX, invested $2 billion in the platform through the USD1 stablecoin issued by World Liberty Financial, an entity backed by Donald Trump and his sons. Several US lawmakers believe the operation creates a conflict of interest. The development of the case now depends on the decisions of the federal authorities and the political climate in Washington, in a context where the regulation of cryptocurrencies remains closely linked to institutional power struggles.
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A graduate of Sciences Po Toulouse and holder of the blockchain consultant certification issued by Alyra, I joined the Cointribune adventure in 2019. Convinced of the potential of blockchain to transform many sectors of the economy, I committed myself to raising awareness and informing the general public about this ever-evolving ecosystem. My goal is to enable everyone to better understand blockchain and take advantage of the opportunities it offers. I strive every day to provide an objective analysis of current events, decipher market trends, convey the latest technological innovations, and put into perspective the economic and social issues of this ongoing revolution.
DISCLAIMER OF LIABILITY
The views, thoughts and opinions expressed in this article are solely those of the author and should not be taken as investment advice. Before making any investment decision, do your own research.
