The investigation, reported by Bloomberg and citing people familiar with the matter, centers on whether the world's largest cryptocurrency exchange permitted users to bypass US economic sanctions against Iran. The Manhattan US Attorney’s Office is taking the lead, with assistance from the DOJ's Criminal Division.
The probe was initially reported in March, but Tuesday's report confirmed the specific role of the Manhattan federal prosecutors and the broader involvement of the Justice Department's Washington-based criminal division.
In response to inquiries, a Binance spokesperson told Cointelegraph: “We maintain a zero-tolerance policy for sanctions violations. We fully cooperate with law enforcement, and we remain committed to rooting out and shutting down bad actors.” The statement did not directly address the investigation.
The development marks a significant escalation of regulatory scrutiny on Binance, which has faced growing pressure from US authorities in recent years over money laundering and compliance concerns. The outcome of the probe could have major implications for the exchange’s operations in the United States.