Binance has printed a proper rebuttal to US Senator Richard Blumenthal, pushing again in opposition to what the crypto trade describes as false and defamatory claims in current media protection that prompted a congressional inquiry into its sanctions compliance program.
The letter, issued on March 6, addressed to the rating member of the Senate Everlasting Subcommittee on Investigations and copied to Chairman Ron Johnson, responds to Blumenthal’s February 24 correspondence.
That inquiry drew closely on stories printed by the New York Occasions, Fortune, and the Wall Avenue Journal earlier this yr, which raised questions concerning the trade’s publicity to Iranian entities and its inner dealing with of compliance issues.
Binance’s authorized representatives assert that the corporate maintains strict Know Your Buyer protocols and explicitly prohibits customers residing or situated in Iran from accessing its platform.
The trade acknowledged that two entities highlighted in Senator Blumenthal’s letter, together with Hexa Whale and Blessed Belief, had oblique publicity to pockets addresses with potential ties to Iran however emphasised that neither transacted immediately with an Iran-based get together.
“Binance has a rigorous compliance program that’s constantly rising stronger,” the corporate said in its response, including that when credible threat info emerges, it investigates, mitigates publicity, removes accounts, and stories findings to acceptable authorities.
The trade detailed its investigative timeline for each flagged entities. Legislation enforcement inquiries in April 2025 triggered a complete inner assessment that led to Hexa Whale’s elimination from the platform in August 2025.
A separate investigation prompted by summer season 2025 regulation enforcement requests resulted in Blessed Belief’s offboarding in January 2026. Binance confused that its investigators continued inspecting potential dangers even after fulfilling preliminary info requests from authorities.
Binance disclosed important funding in its compliance infrastructure, claiming expenditures within the a whole bunch of thousands and thousands of {dollars} lately.
The trade now employs greater than 1,500 compliance professionals globally, together with specialists in sanctions enforcement, counterterrorism financing, and monetary crime investigations. The corporate has deployed over 25 third-party instruments for buyer due diligence and transaction monitoring.
Operational metrics offered within the letter point out that Binance processed greater than 71,000 regulation enforcement requests throughout 2025.
Over the previous three years, the trade has helped authorities businesses seize greater than $752 million in property, with practically $579 million recovered for US authorities.
Analytics information exhibits that its publicity to wallets allegedly concerned in illicit exercise fell from practically 0.3% of complete trade quantity in January 2024 to simply 0.009% by July 2025, a decline of roughly 97%.
Moreover, publicity to the 4 main Iranian crypto exchanges dropped 97% over two years, from over $4 million to $110,000.
The rebuttal immediately contested a Wall Avenue Journal declare that Binance compliance groups had recognized 2,000 accounts related to Iranian entities on its platform.
Binance known as this assertion false and instructed the determine could relate to ongoing efforts to strengthen controls round digital non-public community utilization reasonably than any dedication about Iranian account holders.
The trade famous that id verification stays necessary for all clients and that VPN use to bypass eligibility necessities violates its phrases of service.
Personnel issues additionally drew consideration within the response.
The corporate has acknowledged that some compliance employees and contractors have lately left, but it surely denies that any firings are the results of compliance issues escalating.
The corporate disclosed that one worker was terminated following an inner investigation that discovered unauthorized disclosure of inner consumer info, characterizing this as a violation of consumer privateness insurance policies reasonably than retaliation.
Binance’s rebuttal arrives at a time of rising regulatory strain on giant crypto platforms. The trade’s determination to publish its response to Congress indicators an effort to display transparency because it addresses compliance issues.
