Binance Refutes Fortune Report on Iran‑Related Transfers and Alleged Staff Dismissals
February 16, 2026 – Crypto news desk
The world’s largest cryptocurrency exchange has publicly rejected a recent investigative piece published by Fortune that alleged the platform facilitated more than $1 billion in sanctions‑risk transactions linked to Iranian entities and subsequently terminated compliance investigators who raised the issue. Binance says the claims are unfounded, cites an internal audit that found no violations, and reiterates its commitment to ongoing regulatory oversight.
The Fortune allegations
- Transaction volume: The report states that, between March 2024 and August 2025, Binance processed upwards of $1 billion in transfers involving the USDT stablecoin on the Tron network that were tied to Iranian counterparties.
- Internal whistle‑blowing: According to unnamed sources, at least five investigators—some with prior law‑enforcement experience—documented the activity and were later dismissed. The article also mentions the departure of several senior compliance executives in recent months.
- Source of the story: Fortune relied on internal documents and interviews with current and former Binance staff, but it did not disclose the identities of the sources.
Binance’s response
In a statement circulated by the company’s chief executive officer, Richard Teng, Binance described the Fortune story as “categorically false.” The exchange highlighted three main points:
- No dismissals for compliance concerns: Binance insists that no employee was terminated for raising sanctions‑related issues, and that all investigators remain employed.
- Internal review clears the platform: The exchange commissioned a comprehensive internal audit, supported by external legal counsel, which concluded that there was no evidence of sanctions breaches connected to the alleged transfers.
- Regulatory cooperation continues: Binance refutes suggestions that it is “reneging” on its monitoring obligations stemming from a 2023 settlement with U.S. authorities. The firm says it remains fully engaged with regulators and is complying with all monitoring requirements.
A screenshot of Teng’s email to the media outlet confirmed the exchange’s denial, though Binance has not provided the full audit report for independent verification.
Why the story matters
The allegations surface at a time when Binance is still under heightened scrutiny following a 2023 settlement with U.S. regulators that required the platform to pay a $4.3 billion fine for anti‑money‑laundering (AML) and sanctions violations. The settlement also led to the resignation of founder and former CEO Changpeng Zhao and placed Binance under a monitoring regime that demands robust compliance upgrades.
Earlier, a December 2023 investigation by the Financial Times raised similar questions about Binance’s handling of “suspicious” accounts that moved billions of dollars after the settlement. Binance at the time emphasized that the transactions involved wallets that were not on any sanctions list when the activity occurred.
The recurrence of compliance‑related headlines underscores the continuing tension between the exchange’s rapid growth and the expectations of regulators worldwide.
Independent analysis
- Risk of sanctions exposure: Even if Binance’s internal audit finds no breach, the existence of sizable USDT flows on a public blockchain that can be traced to Iranian entities is a red flag for regulators. Stablecoins, given their dollar‑peg and high liquidity, are frequently scrutinized for potential sanction evasion.
- Compliance culture: The claim that investigators were dismissed—whether true or not—highlights the importance of protecting internal whistle‑blowers. A healthy compliance function depends on staff feeling safe to report anomalies without fear of reprisal.
- Regulatory window: Binance’s ongoing monitoring obligations mean that any new evidence, even if identified after the fact, could trigger additional enforcement actions. The exchange’s willingness to cooperate, as it repeatedly states, will be a key factor in shaping future regulatory outcomes.
- Market perception: News cycles that question Binance’s compliance can affect user confidence and may influence trading volumes, especially among institutional participants that demand stringent AML and sanctions safeguards.
Key takeaways
| Point | Detail |
|---|---|
| Allegations | Fortune claims $1 bn of Iran‑linked USDT transfers on Tron and the firing of compliance investigators. |
| Binance’s stance | Denies all allegations; internal audit found no sanctions violations; no staff were terminated for compliance work. |
| Regulatory context | Exchange remains under a multi‑year monitoring program after a $4.3 bn settlement with U.S. authorities in 2023. |
| Potential impact | Re‑ignited scrutiny on Binance’s AML and sanctions controls; may affect institutional engagement and future regulatory reviews. |
| What’s next | Regulators could request the audit findings; Binance may need to provide more transparent reporting to restore confidence. |
Conclusion
While Binance firmly rejects the Fortune report’s claims, the episode adds another chapter to the ongoing dialogue about the exchange’s compliance framework. The intersection of high‑value stablecoin transfers, sanctions‑risk jurisdictions, and internal governance will likely remain a focal point for regulators and market participants alike. As the case develops, the availability of independent audit evidence and the exchange’s continued cooperation with oversight bodies will be decisive in shaping both public perception and regulatory outcomes.
Source: https://cointelegraph.com/news/binance-denies-iran-sanctions-report-fortune?utm_source=rss_feed&utm_medium=feed&utm_campaign=rss_partner_inbound
