US Democrats including Senator Chris Van Hollen, a senior member of the Senate Banking, Housing, and Urban Affairs Committee, have requested Treasury Secretary Scott Bessent and Attorney General Pam Bondi to investigate whether Binance is complying with US sanctions and anti-money-laundering obligations.
Senate Democrats Press Treasury, DoJ to Probe Exchange Operator Binance over Iran
28 February 2026 - 14:58 CET
By Sandmark staff
In a letter published just as the US military was preparing to attack Iran in 'major combat operations', the lawmakers cited media reports that questioned the exchange operator’s adherence to agreements made in 2023 to settle a legal case.
They asked the Treasury and Justice departments to conduct a "prompt, comprehensive review" of Binance’s sanctions compliance framework and to respond by 13 Mar. They referenced reporting alleging that about $1.7bn in digital assets flowed through the platform to Iranian entities tied to the Islamic Revolutionary Guard Corps and the Iran-backed Houthis.
The letter also raised concerns about whether Binance dismissed or sidelined compliance staff who flagged suspicious activity and whether the company has remained cooperative with US law enforcement. The firm controls the world’s largest crypto trading venue by volume.
Settlement scrutiny intensifies
The request comes more than two years after Binance reached a $4bn resolution with US authorities, pleading guilty to charges related to sanctions breaches and anti-money-laundering failures. The settlement required the company to overhaul its compliance controls and submit to monitoring.
Binance has publicly pushed back against recent media reports, denying that investigators were dismissed for raising concerns and saying it has materially cut its sanctioned-exposure levels, as well as strengthening controls.
The full text of the 27 Feb letter is available here.
