The Justice Department is reviewing whether Binance has met the terms of its 2023 settlement, amid a probe into possible Iran sanctions violations. No new charges have been filed, and the department has not said the exchange breached the deal.
The Justice Department is reviewing whether Binance has lived up to the terms of its 2023 settlement, according to Bloomberg, which cited Tyson Duva, head of the department's Criminal Division. The settlement carried about $4.3 billion in payments.
Iran sanctions probe drives the review
The review comes amid an investigation into whether Binance may have knowingly allowed transactions that broke US sanctions against Iran. In September, prosecutors sought to seize about $61 million in crypto that investigators say came from illegal Iranian oil sales and moved through Binance accounts.
Separately, a Wall Street Journal investigation found accounts linked to Iranian financier Babak Zanjani processed roughly $850 million. Some of that money may have been tied to Iran's Islamic Revolutionary Guard Corps.
No breach finding so far
Duva confirmed the DOJ's involvement but did not claim Binance violated the settlement. No new charges have been filed against the company or its employees.
However, a breach finding could change that. If the DOJ finds one, it could reopen criminal prosecution over previously settled conduct, and Bloomberg notes the risk of new multibillion-dollar penalties.
Binance and founder Changpeng Zhao pleaded guilty in November of 2023, with the exchange agreeing to pay about $4.3 billion. The deal included a three-year DOJ monitorship by Forensic Risk Alliance and separate five-year oversight from the Financial Crimes Enforcement Network (FinCEN).
Source: The Daily Hodl
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