Binance Responds to U.S. Senator's Inquiry, Claims Media Reports Contain Inaccuracies and Defamation

Odaily News Binance issued a statement in response to an inquiry letter dated February 24, 2026, from U.S. Senator Richard Blumenthal regarding anti-money laundering concerns. The inquiry was partially based on "inaccurate, unsubstantiated, and defamatory" allegations from recent media reports. Binance emphasized that the company maintains a rigorous and continuously enhanced compliance and sanctions control system. Binance stated that it has established strict KYC and compliance procedures and explicitly prohibits users located in or residing in Iran from using the platform. Regarding the two entities mentioned in the letter, Hexa Whale and Blessed Trust, Binance indicated that internal investigations were launched following cooperation with law enforcement agencies. The relevant entities were taken offline from the platform in August 2025 and January 2026, respectively. To Binance's knowledge, no Binance accounts have directly transacted with Iranian entities. In recent years, the company has invested hundreds of millions of dollars in building compliance infrastructure, and its global compliance team currently exceeds 1,500 people. Throughout 2025, Binance processed over 71,000 law enforcement requests and assisted in freezing or recovering over $752 million in funds for law enforcement agencies over the past three years, with approximately $579 million stemming from cases involving U.S. government agencies.

Furthermore, Binance cited blockchain analysis data, stating that the proportion of wallet transactions on its platform associated with suspected illicit activity decreased from 0.284% to 0.009% between January 2024 and July 2025, a reduction of nearly 97%. Exposure to Iran-related cryptocurrency exchanges also decreased by 97.3% over two years. Binance stated that upon identifying credible risk information, the company conducts investigations, implements risk mitigation measures, closes relevant accounts, and reports to law enforcement agencies. It will continue to strengthen its compliance system development and law enforcement cooperation.