Fortune reports $1B in Iran-linked Binance flows; CZ says all trades ran through third-party AML tools and denies wrongdoing.
Binance is facing new scrutiny after a report claimed more than $1 billion in crypto may have reached Iran-linked entities. The allegations were published by Fortune on February 13, 2026.
Former Binance CEO Changpeng Zhao, known as CZ, rejected the claims and said all transactions passed through third-party AML systems.
Report Alleges $1B in Iran-Linked Transactions
Fortune reported that internal compliance staff identified over $1 billion in flows tied to Iran.
The funds were mainly in Tether (USDT) and moved through the Tron blockchain. The transactions reportedly occurred between March 2024 and August 2025.
The report stated that the activity may breach U.S. sanctions rules. U.S. law restricts most financial dealings with Iran.
Binance previously agreed to follow strict compliance steps after its 2023 settlement with U.S. authorities.
According to the report, investigators shared their findings with senior leaders. Soon after, at least five senior compliance staff were dismissed.
Several others also left the company during a wider compliance team overhaul.
Compliance Shakeup After 2023 Settlement
Binance paid a $4.3 billion settlement in 2023 to U.S. agencies. These included the Department of Justice, OFAC, and FinCEN.
The case covered past AML, KYC, and sanctions failures, including dealings linked to sanctioned regions.
As part of that agreement, Binance committed to stronger monitoring systems.
It also agreed to improve internal reporting and oversight. The latest claims come during a period when those controls were meant to be active.
Fortune reported that at least four more senior compliance officers exited in recent months.
The departures occurred as Binance adjusted its internal structure. Public sources have not confirmed the exact reasons for each dismissal.
CZ Responds: “All Trades Ran Through AML Tools”
CZ responded publicly to the Fortune article. He described the report as “self-contradicting.” He suggested that staff may have been dismissed for failing to stop violations, not for uncovering them.
Changpeng stated that Binance runs “EVERY transaction through multiple 3rd party AML tools.” He said these systems screen activity for sanctions risks.
He added that if violations occurred, the tools did not flag them.
CZ also criticized the report’s use of anonymous sources. He said such sources may be “unhappy or paid to FUD.”
Binance issued a separate statement affirming its commitment to international sanctions compliance. The company said it continues to block prohibited users and jurisdictions.
Source: https://www.livebitcoinnews.com/binance-ran-all-trades-through-aml-says-cz-amid-1b-allegations/
