US Attorney Files to Forfeit $61M in Crypto Linked to Iran Oil Sales via Binance

On September 14, the US Attorney’s Office for the Southern District of New York lodged a civil forfeiture complaint targeting $61 million worth of cryptocurrency linked to Binance accounts and illegal Iranian oil sales.

According to prosecutors, the money passed through trading accounts owned by Blessed Trust and Hexa Whale, both China-based companies, and then ended up with Iran's Islamic Revolutionary Guard Corps (IRGC), which the US designates as a terrorist organization.

Same Iran-Linked Entities Binance Called Clean

“Today’s action demonstrates our determination to deprive the Government of Iran and its terrorist proxies of the illegal money they rely on to threaten the lives and safety of the citizens of the United States and elsewhere.”

On September 14, Deputy US Attorney Sean Buckley issued that statement when announcing the complaint.

The same two entities mentioned in the complaint were also the focus of a Senate investigation earlier this year.

In March, Binance denied the allegations, with Co-CEO Richard Teng describing them as "false and defamatory."

We’ve voluntarily responded to Senator Blumenthal’s inquiry which raises false and defamatory allegations reported by the WSJ. While we take such matters seriously, it’s important for us to highlight our industry-leading compliance which we've worked hard to build and protect our… pic.twitter.com/qOZ7h1y5nu

— Richard Teng (@_RichardTeng) March 6, 2026

Binance has insisted that no money directly reached Iranian entities. But the September 14 complaint presents a contrasting account.

Prosecutors claim that a wallet network designated as Entity A transferred over $1.5 billion from illicit Iranian oil sales. The network channeled funds to services connected to the IRGC and an Iranian cryptocurrency exchange.

A Familiar Pattern for Binance

Accounts linked to Binance have appeared in Iran-related sanctions reports before.

According to Reuters, Shelbit, an exchange with ties to Iran that was fined in Dubai, moved $676 million to Binance.

In 2023, Binance pleaded guilty to sanctions breaches and paid a $4.3 billion fine.

Binance is not listed as a defendant in the Justice Department's complaint. Instead, the legal action is directed at the cryptocurrency and the purported involvement of Blessed Trust and Hexa Whale.

Awkward Timing for a UK Return

The complaint arrives two weeks prior to Binance's scheduled UK license application, which becomes available on September 30.

Binance is pursuing authorization from the Financial Conduct Authority (FCA) under the UK's updated crypto regulatory regime, which emphasizes governance and compliance.

However, a new laundering complaint connected to Iran and linked to Binance's platform could complicate matters. The exchange itself is not charged in the filing.

It will become apparent how the FCA balances this complaint against Binance's application once the application period begins.