Binance Receives Letter from US Treasury Regarding Exchange Monitorship

Binance Faces New Investigation from US Treasury Department

Binance, the world's largest crypto exchange, has received a letter from the US Department of the Treasury requesting interviews with employees and records to investigate potential sanctions violations. This move comes nearly three years after the company agreed to a monitor and pleaded guilty to US charges related to sanctions and anti-money laundering violations.

The Treasury's letter, dated April 19, follows media reports alleging that the Iranian regime passed some of its funds through Binance. US Senator Richard Blumenthal opened an inquiry into the company in February. The US Department of Justice has been investigating cryptocurrency-related financial flows to Iran, as reported by Bloomberg earlier.

Binance responded to the Treasury letter on April 28, promising its full cooperation. The company stated that it is committed to cooperating with the independent monitor and its ongoing collaboration with relevant agencies. Binance views the oversight as an important part of continuously strengthening its compliance and anti-money laundering controls.

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In 2023, Binance agreed to pay $4 billion to resolve the sanctions and anti-money laundering violations charges. The exchange's co-founder, Changpeng Zhao, resigned his chief executive post and pled guilty as well. Zhao spent four months in jail and was later pardoned by President Donald Trump.

Binance's chief compliance officer, Noah Perlman, is looking to leave, and other senior compliance staff have departed, as reported by Bloomberg earlier. The company's statement on the matter emphasizes its commitment to cooperation and transparency, while also welcoming constructive feedback from the Treasury.