Bitcoin Magazine
Senate Democrats Press DOJ, Treasury to Probe Binance Over Trump Ties, Iran Sanctions Allegations
Eleven Democrats on the U.S. Senate Banking, Housing, and Urban Affairs Committee are pressing the Trump administration to investigate Binance over allegations that the exchange facilitated illicit finance activity tied to Iran and may be violating its 2023 federal settlement.
In a letter sent Friday to Attorney General Pam Bondi and Treasury Secretary Scott Bessent, the senators urged the Justice Department and Treasury to conduct a “prompt, comprehensive review” of Binance’s sanctions compliance controls.
The lawmakers cited recent media reports alleging that billions of dollars in digital assets flowed through the platform to Iranian entities, including groups linked to terrorism.
The letter was led by Sen. Mark Warner and signed by Ranking Member Elizabeth Warren along with Sens. Chris Van Hollen, Jack Reed, Catherine Cortez Masto, Tina Smith, Raphael Warnock, Andy Kim, Ruben Gallego, Lisa Blunt Rochester and Angela Alsobrooks.
According to the senators, Binance compliance personnel uncovered evidence last year that roughly $1.7 billion in digital assets had been routed through the exchange to Iranian entities, including the Iran-backed Houthis and the Islamic Revolutionary Guard Corps.
In one instance, a Binance vendor allegedly moved $1.2 billion in funds connected to Iran-linked actors. The letter also claims that Iranian users accessed more than 1,500 Binance accounts and that the platform may have been used in efforts by Russian actors to evade sanctions.
The lawmakers raised concerns that employees who identified the transactions were dismissed and that Binance has become less responsive to law enforcement requests. They argued that such actions would conflict with the company’s obligations under its 2023 plea agreement and related settlements.
In 2023, Binance pleaded guilty to federal charges including violations of U.S. sanctions laws and anti-money laundering failures. The company agreed to pay more than $4 billion in penalties and committed to sweeping reforms under U.S. supervision, including enhanced know-your-customer procedures and sanctions screening.
The senators contend that the latest reports call into question whether those reforms have been implemented and maintained. In its settlement with the Treasury’s Office of Foreign Assets Control, Binance committed to implement controls capable of identifying and blocking prohibited transactions.
Allowing $1.7 billion in digital assets to move to sanctioned Iranian entities, they wrote, would be inconsistent with that commitment.
Binance and President Donald Trump
The letter also touched on Binance’s recent business relationships involving President Donald Trump and his family’s crypto ventures. Lawmakers pointed to the exchange’s promotion of USD1, a stablecoin issued by World Liberty Financial, a Trump famil
