Binance Co‑CEO Says Exchange Not Accused in $61 Million DOJ Seizure

Binance co‑CEO Richard Teng clarified on Tuesday that the cryptocurrency exchange is not a defendant in a newly filed U.S. forfeiture case involving roughly $61 million in crypto allegedly derived from black‑market sales of sanctioned Iranian crude oil.

Details of the DOJ Complaint

The Department of Justice (DOJ) alleges that two Chinese entities—Blessed Trust, described as a wealth‑management firm, and Hexa Whale, described as a commodities broker—used Binance trading accounts to move funds linked to Iranian oil sales. According to the complaint, a group of wallets labeled “Entity A” transferred more than $1.5 billion in oil proceeds, some of which reached Iran’s Islamic Revolutionary Guard Corps (IRGC), a U.S.–designated terrorist organization.

Binance’s Position

Teng emphasized Binance’s “zero tolerance” policy for sanctions violations and stated that the platform does not permit transactions with sanctioned individuals. He said Binance has cooperated with law‑enforcement agencies since the matter was first raised and that the exchange freezes accounts identified as posing illicit‑finance risks.

Legal Context

The case was filed in the Southern District of New York, and a judge will determine whether the $61 million in cryptocurrency can be forfeited. While Binance is not named as a defendant, the civil forfeiture complaint remains an allegation until adjudicated.

Background

Binance previously pleaded guilty to U.S. sanctions violations in 2023 and paid a $4.3 billion penalty. In March, Teng dismissed U.S. Senate allegations of Iranian money laundering as false and defamatory.