Binance CEO Richard Teng has publicly disputed allegations that the cryptocurrency exchange knowingly facilitated $1.7 billion in transactions linked to Iran, responding to a report initially published by the Wall Street Journal and subsequently scrutinized by the U.S. Senate.
The controversy centers on claims that Binance dismantled an internal investigation into the funds flow after founder Changpeng Zhao received a pardon from former President Donald Trump in October 2024. According to the Wall Street Journal report from February 23, 2026, the investigation focused on transactions routed through Hong Kong-based payments firm Blessed Trust, identified as a key channel for moving cryptocurrency to entities allegedly connected to Iran’s Islamic Revolutionary Guard Corps (IRGC).
Teng labeled the Wall Street Journal’s reporting as “false and defamatory” and demanded a full retraction, asserting that Binance’s compliance program is industry-leading. He stated the newspaper failed to incorporate corrections provided by the company. Binance’s internal team reportedly traced the funds to accounts held by Chinese clients, which U.S. And Israeli authorities allege were used to fund Iranian proxy groups through digital wallets.
The allegations prompted a response from the U.S. Senate. On February 24, 2026, Senator Ron Wyden sent a letter to Richard Teng requesting information regarding Binance’s compliance with sanctions related to Iran. The letter, available publicly, expresses concerns that Binance “appears to have ignored warnings and recommendations to prevent Iranian money laundering schemes.”
Binance has maintained a strong stance on its compliance efforts. A post on Binance Square, the exchange’s information platform, reiterated the company’s denial of the allegations. Though, the exchange has not publicly detailed the specific nature of the corrections it provided to the Wall Street Journal.
The situation follows Binance’s 2023 guilty plea to U.S. Charges, adding to ongoing scrutiny of its operational controls. The exchange faces continued pressure to demonstrate its commitment to preventing illicit financial activity. As of March 6, 2026, Binance has not responded to Senator Wyden’s request for information, and the Senate has not announced any further action.
