Binance, Israel, and Iran: Compliance, Conflict & Crypto Control
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๐ฎ๐ฑ Israel: Freezes & Blocking Requests
Israeli authorities (IDF/NBCTF) have requested Binance to freeze crypto wallets suspected of funding terrorism or illegal activities.
Binance rejected about 86% of these requests โ only ~14% of the accounts were frozen after internal reviews.
In October 2023, at Binanceโs request, Israeli law enforcement froze 100+ Hamas-linked accounts.
Binance clarifies: only wallets confirmed to have illicit transactions were frozen โ no blanket freezes.
Binanceโs Approach:
Committed to international sanctions and AML/CTF standards.
Each case is thoroughly investigated before taking action.
Binance CEO Richard Teng: โOnly those wallets were blocked.โ
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๐ฎ๐ท Iran: Sanctions Compliance
After the U.S. reimposed sanctions in 2018, Binance halted services for Iranian residents and required existing accounts to be liquidated.
In 2022, Binance acknowledged facilitating over $7.8B in transactions involving Iranian entities (2018โ2022), leading to a $4.5B settlement with the DOJ and Treasury.
Current Access for Iranians:
Residents inside Iran are prohibited from using Binance.
The Iranian diaspora (with no ties to Iranโs economy) may use Binance after passing KYC verification.
Due to sanctions, most Iranians rely on local exchanges (e.g., Nobitex).
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๐งญ Summary Table
Country Binance Access Freezes & Compliance
Israel Full platform access; AML/KYC enforced Selective cooperation; ~14% of freeze requests accepted
Iran Blocked for residents; allowed for diaspora (with KYC) Strict enforcement; previously handled significant Iranian transactions
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Key Takeaways:
Israel: Binance selectively freezes accounts with proven illicit ties, resisting broad freeze demands.
Iran: Binance prohibits Iranian residents but previously processed substantial Iranian transactions, resulting in heavy penalties.
