US moves to forfeit over $61 million in cryptocurrency linked to ‘illicit’ Iranian oil money
The US Department of Justice (DOJ) is moving to forfeit more than $61 million allegedly linked to illicit Iranian oil sales laundered through a cryptocurrency exchange ‘Binance’.
According to US prosecutors, two Chinese entities used Binance trading accounts to funnel oil proceeds to Iran. (Representative Image (File Photo/AFP))Also Read | $22.3 billion spent in 4 months: US confirms weapons shortage amid Iran war
Federal prosecutors in Manhattan alleged that two Chinese entities, Blessed Trust Limited, posing as a wealth management firm, and Hexa Whale Trading Limited, posing as a commodities broker, used trading accounts on Binance to funnel oil revenue to Iran, its agents, and proxies. Furthermore, it was alleged that the proceeds were used to finance terrorist activities and finance military.
In the civil forfeiture claim filed Monday, federal prosecutors alleged that Iran used cryptocurrency to launder over $1.5 billion in illicit oil money.
"As alleged in the complaint filed today, the Government of Iran used a network of cryptocurrency actors in China and elsewhere to launder more than $1.5 billion in illicit oil money intended to benefit the Iranian military and the terror-designated IRGC," Manhattan Deputy US Attorney Sean Buckley said in a statement.
"Today we are seizing and seeking to forfeit more than $61 million of the Government of Iran’s money, which otherwise would have promoted hostile military action and terrorist attacks against the US and our allies," Buckley added.
Prosecutors have not accused Binance of wrongdoing, according to Bloomberg.
The company, in a statement, noted that it will cooperate with law enforcement on this matter, the report added.
"We will continue to cooperate with law enforcement on this matter, and where sanctions or illicit-finance risk is identified, we will always investigate, restrict or freeze accounts where appropriate, offboard users, and report to relevant authorities," the firm said in the statement.
Furthermore, the company said it did not permit any transactions with people who were sanctioned.
Earlier, a group of internal investigators at Binance made a series of discoveries last year, The New York Times report, dated February 23, 2026, stated.
It further added that people in Iran had gained access to over 1,500 accounts on the cryptocurrency platform over the previous year.
According to the February NYT report, around $1.7 billion had flowed from two Binance accounts to Iranian entities with links to terrorist groups.
Meanwhile, the crypto trading firm clarified in blog posts then that it cooperated with law enforcement officials and that its compliance program was robust, Bloomberg reported.
Binance has also reportedly stated that it off-boarded Hexa Whale and Blessed Trust before the reports earlier this year.
The conflict in the Middle East was triggered on February 28, when joint US-Israel airstrikes targeted facilities inside Iran.
In response, Tehran retaliated by tightening its control on the key maritime corridor, the Strait of Hormuz, and launching strikes against US and Israeli assets in the region.
Anushka Awasthi is a Content Producer at Hindustan Times, where she covers politics, geopolitics, and major national and international developments. She holds both a Bachelor's and a Master's degree in Journalism and Mass Communication from Guru Gobind Singh Indraprastha University (GGSIPU), New Delhi. Passionate about India's political landscape, Anushka believes that politics shapes every aspect of society, from public policy to everyday life. This drives her to deliver timely, accurate, and researched news that helps readers make sense of everyday developments. Before joining Hindustan Times, Anushka worked with the Zee News English website, reporting extensively on Indian politics and international affairs. During her tenure, she also wrote a range of interviews and analytical stories, focusing on key political and international affairs events. Her reporting is driven by a strong interest in journalism and a dedication to balanced reporting. She strives to present news with clarity and context in the digital era. She aims to ensure that readers stay informed about issues that matter. Outside the newsroom, she enjoys planning her next travel adventure to various corners of India, reading classical books, and binging sitcoms. A coffee enthusiast, she is always on the lookout for new places and experiences.Read More
