Binance sues Wall Street Journal amid report of DOJ Iran probe

Update (Sept. 22, 6:30 AM UTC): This article has been updated to clarify that Binance’s defamation lawsuit concerns a Feb. 23 Wall Street Journal article.

Binance said Wednesday it is suing the Wall Street Journal over a Feb. 23 article that alleged the crypto exchange dismantled an internal investigation into transactions linked to Iran and fired employees involved in the investigation.

Binance filed a defamation lawsuit against the Journal in the Southern District of New York, seeking damages and legal fees, and demanding a jury trial.

Binance told Cointelegraph it was not aware of any Justice Department investigation and said it continued to cooperate with regulators and law enforcement. “As always, we are collaborating with regulators and law enforcement to investigate the facts,” the spokesperson said.

Source: Changpeng Zhao

The lawsuit was filed on the same day that the Journal separately reported that the DOJ was investigating whether Iran used Binance to evade US sanctions and whether transactions on the exchange helped route funds to networks linked to Iran-backed groups, including Yemen’s Houthi militants.

The DOJ had not confirmed an investigation into Iran’s alleged use of Binance to avoid US sanctions at the time of publication.

Binance challenges WSJ reporting

The defamation lawsuit centers on the Journal’s Feb. 23 article, which claimed Binance dismantled an internal investigation into roughly $1 billion that flowed through the platform to a network tied to Iranian proxy groups.

Binance categorically denied claims that it dismantled any compliance investigation in a statement to Cointelegraph.

Binance said its internal investigation continued and uncovered a sophisticated, multi-jurisdictional pattern of financial activity spanning Asia, the Middle East and other regions.

Source: Eleanor Terrett

The exchange also published a blog post on Tuesday, following up on its Feb. 23 statement, which details the fund flows and addresses what Binance describes as false claims made against it.

Related: CZ says CEXs have ‘zero motive’ to aid terrorists as court dismisses terrorism suit

On March 6, the exchange responded to a February inquiry launched by a group of 11 US senators, denying facilitating transactions to Iranian entities and the narrative around employees’ terminations.

Binance pleaded guilty in 2023 to violating US anti-money-laundering and sanctions laws, paying a $4.3 billion fine and agreeing to operate under US oversight.

Former Binance CEO Changpeng “CZ” Zhao pleaded guilty to related charges and spent four months in jail in 2024. In October 2025, CZ received a pardon from US President Donald Trump.

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