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Binance Rejects Sanctions Evasion Claims, Reports 97% Drop

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Massive Malware Dataset Exposes 420,000 Accounts


Analysis shows sanction-linked wallets amassed major stablecoin balances, underscoring compliance challenges industrywide.

Binance has reported a reduction in its exposure to sanctioned entities, citing a 97% decline since January 2024.

The announcement follows accusations of sanctions violations and claims that investigators were dismissed for raising compliance concerns.

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Binance Outperforms Global Peers

Recent reports from Fortune claimed that several investigators were terminated after flagging over $1 billion in transactions linked to Iranian counterparties, primarily involving Tether’s USDT on the Tron blockchain over 18 months.

In addition to the investigators’ terminations, the report indicated that during the last three months, at least four senior compliance employees have been let go or pushed out.

Separately, blockchain analytics platform Elliptic noted in January that wallets tied to the Central Bank of Iran had accumulated more than $500 million in USDT, indicating a growing reliance on stablecoins to bypass banking restrictions.

In response, Binance outlined its compliance measures in a blog post, describing its program as the “best-in-class” and continuously strengthening. Data shared by the exchange shows that sanctions-related exposure as a percentage of total exchange volume fell from 0.284% in January 2024 to 0.009% by July 2025, representing a 96.8% decline.

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Direct connection to the four largest Iranian cryptocurrency exchanges also dropped by 97.3% over the period, from $4.19 million to approximately $0.11 million, surpassing ten major global exchange peers in risk reduction. In 2025 alone, the firm says it processed over 71,000 requests from authorities and supported more than $131 million in confiscations.

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These developments come as Binance continues to operate under compliance reforms agreed to during its settlement with U.S. authorities, after the exchange pleaded guilty to anti-money laundering and sanctions violations, paying $4.3 billion in penalties.

Binance Denies Allegations

According to Binance, the recent reporting on its sanctions compliance status is based on incomplete and mischaracterized information that does not reflect the full record.

The company shared that the two entities referenced in the reports underwent structured internal reviews, which confirmed they were not on any sanctions lists while using the platform and that their transactions did not trigger alerts from industry-standard monitoring tools.

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Binance added that as soon as new information was discovered, it went on to activate its compliance protocols and took appropriate action.

The exchange also denied accusations that it had dismissed investigation staff for working on these cases, clarifying that some relevant employees departed after an internal review found breaches of company data protection and confidentiality guidelines.

Former Binance CEO Changpeng Zhao also dismissed the claims on social media, stating,

“You can put a negative narrative on anything by talking to an ‘anonymous source’ who is ‘unhappy’ or paid to FUD.”

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Crypto World

XRP Crypto Falls to $1.31 After Failed Breakout as Liquidity Dries Up

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XRP Crypto slipped to $1.31 after a hard rejection at $1.35 left traders with little to show from a breakout attempt that briefly looked credible.

The 2% drop is secondary – what matters is the combination of that ceiling rejection and visibly thinning order book depth, a setup that historically precedes sharper directional moves.

The failed push came off a March 31 high of $1.37, with XRP unable to clear $1.40 resistance and grinding lower through a $1.28–$1.33 range ever since.

That recent run toward $1.35 now looks like a distribution zone rather than a launchpad, and the market cap sits at $80.6 billion with 24-hour volume at just $2.01 billion – reduced participation that confirms the liquidity problem is real. The chart now forces a binary question: does $1.28 hold, or does the next support at $1.15 come into play faster than bulls expect?

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XRP Crypto, Reclaim $1.35 or Retreat to $1.15?

XRP Crypto is trading below both its 50-day EMA ($1.38) and 200-day EMA ($1.88), with price pinned inside a descending channel on the 4-hour chart where both the 50-SMA and 200-SMA act as overhead ceiling.

Daily RSI reads 38 – weak momentum, but not yet in oversold territory, which means there’s no technical floor from that indicator alone. MACD is negative and expanding downward, removing any near-term momentum argument.

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Key resistances sit at $1.3500; load-bearing supports are $1.3000 and $1.2698. The $1.28 level has held since February, aligning with the 23.6% Fibonacci retracement – below it, holder support thins materially until $1.15.

Source: TradingView

The bull case requires a clean reclaim of $1.35 on volume – not a wick, a close – followed by a hold above the 50-day EMA at $1.38.

That sequence opens $1.45 and, with a catalyst, $1.60 tied to regulatory progress on the CLARITY Act, which carries a 63% probability of passing in 2026 per current prediction markets. Long-term analysts maintain structurally bullish frameworks, but those scenarios require macro conditions – FOMC dovishness, easing geopolitical tensions – that aren’t present right now.

The bear case activates on a confirmed daily close below $1.28. Analysts are flagging $1.15 as the next meaningful support, with more aggressive targets at $0.80 contingent on oil above $100 and Fed rate holds through Q2.

The uncomfortable reality is that XRP is down nearly 30% year-to-date and 64% from its $3.65 all-time high, and every bounce has been sold. The single most important level: $1.28. Hold it and the range stays intact; lose it and $1.15 becomes the next anchor.

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The post XRP Crypto Falls to $1.31 After Failed Breakout as Liquidity Dries Up appeared first on Cryptonews.

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South Korea Tightens Crypto Rules with 5-minute Asset Verification Mandate

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South Korea Tightens Crypto Rules with 5-minute Asset Verification Mandate

South Korea has ordered all crypto exchanges to reconcile their internal ledgers with actual asset holdings every five minutes after an inspection uncovered weaknesses in internal controls.

The directive was announced on Monday by the Financial Services Commission (FSC) after a meeting with top crypto exchanges and the Digital Asset Exchange Alliance (DAXA), during which they discussed the findings of an emergency inspection triggered by the Bithumb payout incident.

The inspection found that three of the country’s five major exchanges were reconciling balances only once every 24 hours, limiting their ability to respond quickly to discrepancies. Systems designed to halt trading during major mismatches were also found to be insufficient, raising concerns about how exchanges would handle large-scale errors.

In February, Bithumb mistakenly distributed 620,000 Bitcoin (BTC) to 249 users during a promotional event. The exchange later announced that it recovered 99.7% of the funds the same day. The remaining 0.3%, 1,788 BTC that had already been sold, was covered using company reserves.

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Related: Bithumb seeks to reappoint CEO despite recent controversies: Report

South Korea mandates five-minute asset checks

Under the new measures, exchanges must implement automated ledger-to-wallet reconciliation systems operating on a five-minute cycle. They will also be required to introduce defined criteria for triggering automatic transaction halts in the event of significant discrepancies.

Beyond reconciliation, regulators are pushing for sweeping changes to internal operations. High-risk processes like promotional payouts will require stronger oversight, including third-party cross-checks and multi-level approval systems. Exchanges will also need to separate high-risk accounts and implement automated verification tools for payments.

Top Korean crypto exchanges. Source: CoinGecko

Furthermore, external audits will shift from quarterly to monthly, while disclosures will expand to include detailed asset balances by wallet and ledger.

“The financial authorities and the DAXA plan to complete the rule changes needed to implement the improvement measures within April this year,” the FSC wrote.

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Related: South Korean brokerage Korea Investment & Securities eyes Coinone stake: Report

Bithumb delays IPO to post-2028

Last week, Bithumb announced it is now targeting an IPO after 2028, marking another delay from its earlier 2025 plans as it works through restructuring and regulatory pressure. The exchange said it will focus on strengthening accounting policies and internal controls through 2027, following an advisory agreement with Samjong KPMG.

Meanwhile, Naver Financial has also delayed its planned share swap with Dunamu by about three months, now targeting a shareholder vote on Aug. 18 and completion by Sept. 30.

Magazine: South Korea gets rich from crypto… North Korea gets weapons

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