The U.S. Justice Department is investigating whether Binance was illegally used to allow Russians to evade U.S. sanctions and move funds through the world’s largest cryptocurrency exchange, according to people familiar with the matter. The Justice Department’s national security division is investigating whether Binance or its executives violated sanctions against Russia, according to five people familiar with the matter who spoke on condition of anonymity.
The investigation, which has not been previously reported, is parallel to ongoing investigations by the criminal department, a person familiar with the matter said. The probe faces more scrutiny for the operator of the world’s largest cryptocurrency exchange after a string of shocking bankruptcies and scandals.
Binance has been in discussions with the Justice Department to settle allegations that the exchange helped circumvent sanctions on Iran ahead of strong compliance rules, another person familiar with the matter said.
Binance said in a statement that Binance is 100% compliant with U.S. and international financial sanctions.
