Binance Accused of Enabling $1 Bn in Transactions for Hamas, Hezbollah

Binance, one of the world’s largest cryptocurrency exchanges, is facing a new lawsuit accusing the company and its founder, Changpeng Zhao, of facilitating more than $1 bn in transactions for Hamas, Hezbollah and other U.S.-designated terrorist organizations.

According to The Financial Times, the suit was filed by hundreds of victims of Hamas’ October 2023 attack on Israel. Reuters reported that 306 American plaintiffs, including families of those killed, injured, or taken hostage, are leading the case, which also cites subsequent attacks by other militant groups.

The complaint alleges that Binance «knowingly allowed» the transfer of more than $1 bn linked to Hamas and Hezbollah, despite the exchange’s high-profile guilty plea in November 2023, when it paid a $4.32 bn penalty for violating U.S. anti-money-laundering and sanctions laws.

The filing, made public on November 24, accuses Binance and Zhao of laundering money for Hamas even after those charges.

«The lawsuit details how Binance knowingly facilitated hundreds of millions of dollars that helped those responsible for the atrocities of the Oct. 7 attack,» said Lee Wolosky, an attorney representing the victims. «When a company chooses profit over even the most basic counter-terrorism obligations, it must be held accountable — and it will be.»

Binance has not yet issued a public response to the latest allegations.