Binance is facing a new investigation in the United States over possible violations of sanctions on Iran, Bloomberg News reported on Monday.

Investigators are examining whether Binance allowed certain trading activity linked to Iran on its platform. Authorities are also looking into whether the crypto exchange knowingly allowed the activity to take place, Bloomberg reported.

Another Probe

Binance maintained that it has a zero-tolerance policy toward sanctions violations. The company also asserted that it works closely with law enforcement agencies and remains focused on identifying and removing bad actors from its platform.

This isn’t the first time Binance has faced major scrutiny from US authorities. Its former CEO, Changpeng Zhao, stepped down in November 2023 after the Justice Department accused him of violating US financial laws, including the Bank Secrecy Act and the International Emergency Economic Powers Act. Zhao pleaded guilty and was sentenced to four months in prison in April 2024. He also paid a $50 million fine.

Binance agreed to plead guilty and pay $4.3 billion in penalties as part of the case. Zhao completed his sentence in September 2024. The following year, US President Donald Trump granted him a presidential pardon.

Iran Crypto Crackdown

The latest investigation comes as Washington continues to increase pressure on Iran. The US sanctioned firms and individuals it accused of supporting Hezbollah and other Iranian-backed groups in the Middle East.

Just last week, the Treasury Department added BitBank to its sanctions list. The Office of Foreign Assets Control (OFAC) said that the crypto exchange is controlled by Iranian financier Babak Zanjani, who is already under US sanctions. It was accused of helping move money connected to sanctioned Iranian entities. OFAC said BitBank transferred payments received by the Hormuz Safe Marine Services Authority, which was previously designated by the US.

The platform also allegedly moved hundreds of millions of dollars in Bitcoin to the Islamic Revolutionary Guard Corps between June and July. The sanctions cover BitBank’s developer, Pishtaz Simorgh Electronic Trade Company, and three executives linked to Zanjani.

Source: CryptoPotato