Binance files defamation suit against WSJ over Iran sanctions report

Binance sued the Wall Street Journal over a Feb 23 story it calls “false and defamatory.” The filing seeks retraction, damages, and a jury trial in New York.

The company announced the suit in a blog post, citing the WSJ article that alleged roughly $1 billion in crypto moved through Binance to Iran‑linked networks under U.S. sanctions. Sources: Binance blog, WSJ Feb 23 report, court venue and jury demand (tweet).

“We view this lawsuit as a necessary step,” said Dugan Bliss, Binance’s Global Head of Litigation, arguing the WSJ prioritized clicks over accuracy and caused reputational and business harm. Source: Binance blog.

Binance’s counsel at Withers sent a formal demand for immediate corrections, full retraction, and removal of the piece. Source: Binance blog.

The WSJ story reported internal investigators found large 2024–2025 transfers from Binance clients to Iran‑linked groups, including entities aligned with the Houthis, and said staff who raised alarms were sidelined. Sources: WSJ Feb 23 report, Bitcoinist recap.

Binance countered that WSJ ignored documented improvements, pointing to a 97%+ reduction in exposure to sanctioned entities, expanded screening after its 2023 settlement, and support for freezing and recovery efforts in 2025. Source: Binance blog.

“Risk cannot be reduced to absolute zero on any blockchain platform,” Binance added, stressing detection, investigation, mitigation, offboarding, reporting, and continuous monitoring. Source: Binance blog.

The clash comes after Binance’s 2023 $4.3B U.S. settlement and guilty plea on AML and sanctions violations, which still subjects the exchange to monitorship. Source: NewsBTC on 2023 settlement.

Binance says the WSJ’s claims triggered “baseless” government inquiries, referencing Senator Richard Blumenthal. Source: Bitcoinist on Blumenthal exchange.