Crypto exchange Binance has filed a defamation lawsuit against The Wall Street Journal (WSJ) in the U.S. District Court for the Southern District of New York (SDNY). The company is seeking damages, legal fees, and a jury trial, arguing that the publication’s report contained false claims that harmed its reputation.
Binance Sues WSJ For Defamation
Crypto reporter Eleanor Terrett recently revealed that Binance is suing The Wall Street Journal for defamation. Terrett disclosed the development in a post on X, noting that the lawsuit was filed in the U.S. District Court for the Southern District of New York.
For context, the publication, owned by Dow Jones & Company, an American publishing and financial information firm, reported in a February 2026 article that Binance mishandled an internal investigation into transactions potentially linked to Iranian entities.
According to WSJ’s report, investigators within the exchange had identified over $1 billion in crypto transfers connected to networks associated with Iran-backed groups. However, documents shared by Terrett regarding the case show that Binance strongly disputes the claims.
The exchange argued in its complaint that the statements were false and defamatory, alleging that the publication knowingly spread incorrect information about the company despite receiving factual corrections before publishing the article. As a result, the exchange is seeking damages and legal fees. The exchange is also demanding that the case be heard by a jury.
DOJ Probe Focuses on Alleged Iran-Linked Transactions
Meanwhile, the lawsuit surfaced just as the U.S. Department of Justice reportedly began an active probe into whether Iranian actors used Binance to bypass sanctions. According to The Wall Street Journal, the investigation is centered on transactions that allegedly moved through the exchange to Iran-backed militant groups, including Yemen’s Houthi militants.
It’s worth noting that earlier in February, Democratic U.S. Senator Richard Blumenthal opened an inquiry into Binance, accusing the exchange of being a repeat offender of sanctions violations.
The move followed reports from both The Wall Street Journal and The New York Times alleging that the exchange’s Hong Kong–based partners, Hexa Whale and Blessed Trust, had acted as intermediaries enabling trade with Iranian government entities and facilitating money laundering. However, Binance denied the claims, maintaining that it does not allow sanctioned entities to use its platform and that it maintains strict compliance procedures.
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Tensions With U.S. Authorities Continue
The legal clash between Binance and The Wall Street Journal underscores the mounting pressure facing major crypto companies as regulators and lawmakers intensify oversight of the sector. By filing the lawsuit, Binance appears determined to challenge what it describes as inaccurate reporting that could damage its reputation and influence public perception.
It is also worth noting that Binance has been at loggerheads with some U.S. government officials since the presidential pardon of its founder, Changpeng Zhao (CZ). Zhao had previously pleaded guilty to failing to properly register Binance as a money-transmitting business and breaching sanctions regulations.
As part of the settlement, the founder agreed to pay $4.3 billion in penalties and cooperate with compliance monitoring measures implemented for the exchange. Zhao also served a four-month jail sentence in a federal prison. The episode continues to shape the regulatory narrative around Binance as the exchange faces fresh scrutiny from lawmakers and investigators.
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The CoinRemark Team
Evans Kelvin
