Connecticut Senator Richard Blumenthal has requested information from U.S. authorities overseeing Binance about the exchange’s compliance with anti-money laundering (AML) rules and sanctions under the court-ordered 2023 monitoring program.
In letters to the Department of Justice and the Treasury’s Financial Crimes Enforcement Network (FinCEN), Blumenthal said he was alarmed by “mounting allegations of dangerously lax anti-money laundering prevention by Binance” and sought details about how U.S. officials are enforcing the monitoring and reporting obligations set by the 2023 settlement.
That settlement required Binance to pay $4.3 billion to resolve civil regulatory actions and followed a criminal case in which former CEO Changpeng “CZ” Zhao pleaded guilty to one felony charge. As part of the deal, U.S. authorities were tasked with supervising Binance’s compliance; DOJ and FinCEN representatives who would oversee that supervision declined to comment, according to reporting.
Recent investigative reports have intensified scrutiny of the exchange, alleging it was used to evade U.S. sanctions on Iran and that employees who raised warnings about roughly $1 billion flowing to Iran-linked entities were fired. Binance has denied those allegations.
Earlier, in February, a bipartisan group of senators led by Sen. Chris Van Hollen asked Treasury officials for a “prompt, comprehensive review” of Binance’s compliance controls. That letter, co-signed by 10 lawmakers, called for action from Treasury Secretary Scott Bessent and former Attorney General Pamela Bondi.
Separately, scrutiny continues over reported ties between Binance and former President Donald Trump. In March 2025, reports said a UAE-based entity purchased a $2 billion stake in Binance using USD1 stablecoin issued by World Liberty Financial, a company co-founded by Trump and his sons. In October 2025, Trump pardoned CZ after the former CEO served four months in prison related to his 2023 guilty plea.
Lawmakers are increasingly calling for robust enforcement and greater transparency about how Binance is meeting its settlement obligations and complying with U.S. AML and sanctions laws.
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