The lawmakers believe only they can ensure transparency during the investigation
A group of Democratic senators is pressing for oversight of a reported Justice Department investigation into alleged sanctions violations by Binance. Senators Chris Van Hollen, Elizabeth Warren, and Ruben Gallego said they want to ensure the DOJ conducts a thorough inquiry and holds the crypto exchange accountable if wrongdoing is found.
The investigation reportedly focuses on Binance’s potential role in helping Iran evade US sanctions. According to a Wall Street Journal report, the Justice Department is examining transactions linked to Iran that may have moved through the platform. The senators described Binance as prioritizing profits over compliance with the law.
Binance has publicly denied knowledge of any investigation. A company spokesperson said the exchange continues to cooperate with regulators and law enforcement but declined to comment on specific interactions with the DOJ. Binance also emphasized its commitment to following US regulations.
The senators noted that last month they formally requested that US Treasury Secretary Scott Bessent and Attorney General Pam Bondi investigate the movement of Iran-linked funds through Binance. They expressed concern that the company could be aiding entities tied to terrorism, citing past compliance issues.
In response to media reports, Binance filed a defamation lawsuit against the Wall Street Journal. The article alleged the exchange fired employees who flagged $1 billion in crypto tied to sanctioned Iranian groups, including Yemen’s Houthis and the Islamic Revolutionary Guard Corps. Binance rejected these claims as false and said no investigations were halted.
Binance has a history of US legal issues. In November 2023, the exchange admitted to violating anti-money-laundering and sanctions laws, paying a $4.3 billion fine and agreeing to operate under US oversight. Former CEO Changpeng Zhao pleaded guilty to a money laundering-related charge in 2024 and received a four-month prison sentence, which was later pardoned by President Donald Trump.
The current scrutiny highlights ongoing concerns in Washington about cryptocurrency compliance, and the senators vow to monitor the DOJ’s efforts closely to ensure any potential violations are addressed.
