Binance Says One‑Quarter of Its Workforce Is Dedicated to Compliance Amid Sanctions Scrutiny
February 23, 2026 – Cointelegraph – Binance, the world’s largest cryptocurrency exchange by volume, announced on Monday that roughly 25 % of its global staff are assigned to compliance functions. The disclosure follows a February 13 report by Fortune that alleged the platform had fired investigators who uncovered possible violations of U.S. and international sanctions, particularly those relating to Iran.
Binance’s response
In a blog post titled “Setting the record straight,” the exchange detailed the steps it has taken to reduce its exposure to sanctioned entities. According to the post, the proportion of total trading volume linked to sanctioned parties has dropped by about 97 % since January 2024 and now accounts for approximately 0.009 % of overall activity. Direct exposure to the four largest Iranian exchanges fell from $4.19 million to $110 000 in the same period.
The statement also refuted the Fortune allegations, describing them as “categorically false” and emphasizing that no compliance staff were dismissed for raising concerns about sanctions. Instead, Binance said a handful of employees left after an internal review identified breaches of data‑protection and confidentiality policies.
Context and prior allegations
The current controversy revives questions raised in earlier years. In 2022, a Reuters investigation accused Binance of continuing to serve Iranian users even after the platform officially blacklisted the country. Those claims prompted regulatory scrutiny in several jurisdictions and led Binance to bolster its anti‑money‑laundering (AML) and sanctions‑screening capabilities.
Investment in compliance
Beyond staffing levels, Binance highlighted a multi‑year investment of “hundreds of millions of U.S. dollars” into its compliance infrastructure. The exchange claims that the expanded team now monitors transactions, conducts enhanced due‑diligence checks, and enforces data‑security standards across all of its operating units.
Analyst commentary
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Regulatory risk: John Lee, senior analyst at CryptoRisk Advisors, notes that allocating a quarter of a workforce to compliance is “unusual for a crypto‑centric firm” but may be essential to satisfy increasingly stringent global regulators. “If Binance can sustain that level of operational overhead, it could position itself as a benchmark for industry compliance,” Lee added.
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Financial impact: Maria Alvarez, fintech researcher at the Blockchain Institute, points out that while the compliance spend is significant, the reduction of sanctioned‑related volume to less than one‑hundredth of a percent likely mitigates the risk of hefty fines or asset freezes. “The trade‑off is a modest hit to net margins, but the reputational benefit may outweigh the cost,” she said.
- Competitive landscape: Samuel Patel, partner at venture firm Apex Crypto, believes other exchanges will feel pressure to disclose similar staffing figures. “Transparency around compliance resources could become a differentiator for user trust and for securing banking partnerships,” Patel argued.
Key takeaways
- Compliance headcount: Binance publicly states that about one in four employees work on compliance, reflecting a major resource allocation compared with most crypto platforms.
- Sanctions exposure reduced: Trading linked to sanctioned entities has fallen from 0.283 % to roughly 0.009 % of total volume, a 97 % decline since early 2024.
- Financial commitment: The exchange has invested “hundreds of millions” in compliance technologies, personnel, and training.
- Regulatory positioning: By emphasizing compliance staffing and reduced sanctions exposure, Binance aims to counter allegations of sanctions evasion and to reassure regulators and partners.
- Industry ripple effect: The disclosure may prompt other crypto businesses to increase transparency about their own compliance structures as global scrutiny intensifies.
As regulators worldwide continue to tighten oversight of virtual‑asset service providers, Binance’s staffing data offers a tangible metric for assessing the exchange’s ongoing commitment to meeting anti‑sanctions and AML obligations. Whether this level of investment will translate into long‑term regulatory relief remains to be seen, but the firm’s public stance signals an intent to prioritize compliance as a core operational pillar.
Source: https://cointelegraph.com/news/binance-doubles-down-on-compliance-credentials-amid-recent-allegations?utm_source=rss_feed&utm_medium=feed&utm_campaign=rss_partner_inbound
