Binance Regulation Explained: DOJ Deal, Licences & 2026 Status

Guide · Last reviewed 28 October 2026 · By the CryptoUpdate Newsroom. This is an explainer, not legal or investment advice.

Binance is the world’s largest crypto exchange by trading volume and one of the most scrutinised. Searches for “Binance regulation” bring up a mix of old bans, settlement headlines and unsourced claims. This guide covers what US authorities found in 2023, what has changed since, which regulators currently license Binance entities, and how to check their status on official registers yourself.

In short

  • In November 2023 Binance pleaded guilty in the US to anti-money-laundering, unlicensed money transmission and sanctions violations. It settled with the DOJ, FinCEN, OFAC and the CFTC for about $4.3 billion and accepted two compliance monitors.
  • Founder Changpeng Zhao (CZ) pleaded guilty, served four months in 2024 and was pardoned in October 2025. The SEC dropped its civil case in May 2025.
  • We found no announcement that either monitorship has ended. In October 2026 Bloomberg reported that the DOJ was reviewing whether Binance had kept to its 2023 deal, with a focus on Iran sanctions.
  • Binance has no MiCA authorisation in the EU. It withdrew its Greek application in June 2026, and its French registration lapsed on 2 July 2026. Its global platform is regulated in Abu Dhabi (ADGM), and it holds a licence in Dubai.
  • “Binance” is a group of companies. Your protection depends on which entity you contract with and whether that entity appears on your own regulator’s register.

The 2023 US resolution: what Binance admitted

On 21 November 2023, Binance pleaded guilty to failing to maintain an effective anti-money-laundering programme under the Bank Secrecy Act, to operating an unlicensed money transmitting business and to violating US sanctions law. The headline total was about $4.3 billion. Each agency announced its own penalty:

  • FinCEN imposed a $3.4 billion penalty, the largest in Treasury history. Treasury said Binance “willfully operated as an unregistered money services business”. It also said Binance filed no suspicious activity reports despite more than 100,000 suspicious transactions and suggested that users get around its geoblocking with VPNs (US Treasury).
  • OFAC settled 1,667,153 apparent sanctions violations for $968,618,825. The violations were trades between 2017 and 2022 between users in the US and users in Iran, North Korea, Syria, Crimea and other sanctioned places (OFAC).
  • The CFTC obtained a proposed consent order for Binance to pay $2.7 billion and Zhao $150 million. The order resolved the derivatives case the CFTC had filed in March 2023 (CFTC).

The agency figures add up to more than $4.3 billion because some payments were credited against others. The headline total is the overall cost. Binance also agreed to exit the US market: Binance.com may not serve US persons. Binance.US is a separate affiliate.

The monitors

The deal created two monitorships. The DOJ plea required an independent compliance monitor for at least three years: Francis McLeod of Forensic Risk Alliance. FinCEN imposed a separate five-year monitorship, with Sharon Cohen Levin of Sullivan & Cromwell appointed. Binance asked FinCEN to end its monitorship in April 2025 and the DOJ to end its own in September 2025. As of 8 May 2026, neither agency had decided (Global Investigations Review). We found no later announcement that either monitorship has ended.

Changpeng Zhao: plea, prison and pardon

Zhao pleaded guilty to failing to maintain an effective anti-money-laundering programme and stepped down as CEO. Richard Teng replaced him. On 30 April 2024, a federal court in the Western District of Washington sentenced Zhao to four months in prison and a $50 million fine. He was released in September 2024. The DOJ’s pardon records list a full pardon for Zhao dated 21 October 2025, and the White House announced it on 23 October (DOJ clemency list). The pardon covers Zhao personally. It does not undo Binance’s corporate plea or its obligations to the monitors.

The SEC case: filed in 2023, dropped in 2025

On 5 June 2023, the SEC sued Binance Holdings, the operators of Binance.US and Zhao on 13 charges. The charges included running unregistered exchanges, brokers and clearing agencies, and selling BNB, BUSD and staking products without registration (SEC). On 29 May 2025, both sides filed to dismiss the case with prejudice, so it cannot be refiled. No court ruled on the merits.

What changed in 2026

The DOJ memo on cooperation (July 2026)

On 8 July 2026, The Information reported on a DOJ memo sent to prosecutors in early June, which warned them to expect less cooperation from Binance. According to reports, the memo said Binance would stop voluntary “courtesy freezes” of suspect funds. It added that Binance would sometimes require formal requests, including mutual legal assistance treaty (MLAT) requests, before it froze or seized assets. A Binance spokesperson said: “There has been and will be no change to Binance’s cooperation with U.S. law enforcement” (Investing.com). The company later said officials had misread its data-protection obligations under its Abu Dhabi licence (Cryptopolitan). The dispute matters because the 2023 plea requires Binance to cooperate fully with law enforcement. We found no public DOJ statement resolving it.

Iran sanctions questions (September–October 2026)

In September 2026, federal prosecutors in Manhattan filed a civil forfeiture action seeking about $61 million. They allege that two China-based companies used Binance trading accounts to launder proceeds from sales of sanctioned Iranian oil. On 9 October, Bloomberg reported that the DOJ was examining whether Binance had complied with its 2023 settlement, focusing on possible Iran sanctions violations (Crypto Briefing summary). Binance has not been charged with any new offence and says it is cooperating with law enforcement. The forfeiture allegations have not been proven in court.

Europe: no MiCA licence

Under the EU’s Markets in Crypto-Assets Regulation (MiCA), firms working under older national registrations could carry on only until 1 July 2026 at the latest (ESMA). Binance applied in Greece in January 2026. On 24 June 2026 it withdrew the application, a week after Reuters reported that the bid was set to fail, and said it would apply in another member state (Decrypt). It suspended some EU services and stopped new registrations, while saying “We’re not leaving Europe” (CoinDesk). The AMF shows that Binance France’s 2022 registration lapsed automatically on 2 July 2026. As of ESMA’s 22 October 2026 update, no Binance entity is listed in the interim MiCA register.

UK investor claim

In June 2026, nearly 1,700 investors brought a group claim in the High Court in London against Binance and Zhao. They allege that Binance sold leveraged derivatives to UK retail customers in 2019–2020 without FCA authorisation. Binance said it would defend itself (Silicon UK). By 30 September, the claimants’ law firm reported about 2,700 claimants and claims worth more than £250 million (Law Gazette).

Where Binance is licensed or registered

This table lists only entries we confirmed on a regulator’s register or another primary source on 28 October 2026. Binance claims licences elsewhere that we could not check.

Jurisdiction Regulator Entity and status Date Source
Abu Dhabi (ADGM), UAE FSRA Nest Exchange, Nest Clearing and Custody, Nest Trading. Binance’s global platform operates under these. Approved Dec 2025; regulated from 5 Jan 2026 Binance licences page
Dubai, UAE VARA Binance FZE, VASP licence VL/24/04/001, active 15 Apr 2024 VARA register
Japan FSA (Kanto Local Finance Bureau) Binance Japan K.K., registered crypto-asset exchange No. 00031 Entered via acquisition, Nov 2022 FSA register (PDF)
France AMF Binance France, DASP registration E2022-037. Lapsed. 4 May 2022 to 2 Jul 2026 AMF list
European Union ESMA / national authorities No MiCA authorisation Checked 28 Oct 2026 ESMA interim register
United Kingdom FCA Not authorised. No group entity holds UK authorisation. Restricted Jun 2021; permissions cancelled 30 May 2023 FCA statement
United States DOJ, FinCEN, OFAC, CFTC Binance.com barred from serving US persons. Binance.US is separate. 21 Nov 2023 US Treasury

Timeline, 2017–2026

Date Event
July 2017 Binance starts operating. The SEC later counted Binance’s revenue from this month.
June 2021 The UK FCA restricts Binance Markets Ltd and warns consumers.
4 May 2022 Binance France registers with the AMF.
27 March 2023 The CFTC sues Binance and Zhao.
5 June 2023 The SEC sues Binance, the Binance.US operators and Zhao.
21 November 2023 The US resolution of about $4.3bn: a guilty plea, two monitors, and Zhao steps down.
February–October 2024 Nigeria detains Binance executive Tigran Gambaryan. He is released on 23 October after the charges are dropped.
15 April 2024 Binance FZE receives its VARA licence in Dubai.
30 April 2024 Zhao is sentenced to four months in prison.
29 May 2025 The SEC case is dismissed with prejudice.
21–23 October 2025 Zhao is pardoned.
5 January 2026 Binance’s global platform comes under ADGM regulation.
24 June 2026 Binance withdraws its Greek MiCA application.
1–2 July 2026 The MiCA transition ends, EU services are cut back and the French registration lapses.
8 July 2026 The DOJ cooperation memo is reported. Binance denies any change.
September 2026 The Iran-oil forfeiture case is filed in New York. The UK claim reaches about 2,700 claimants.
9 October 2026 Bloomberg reports a DOJ review of Binance’s compliance with the settlement.

What this means for users

  • Check which entity you contract with. Binance’s terms of use name the operating company for your country. Your rights and complaint routes depend on that entity and its regulator, not on the brand.
  • Look for local registration. A licence in Abu Dhabi or Dubai does not authorise a firm to serve customers in the EU or UK. Under MiCA, an offshore firm may serve an EU client only if the client approached it on their own initiative, and ESMA reads that exception narrowly.
  • Act early when services change. When an exchange loses a registration, it usually restricts deposits and trading first and keeps withdrawals open for a time. If access becomes a problem, see our guide on what to do when crypto exchange withdrawals are frozen.
  • Keep your own records. Download statements and transaction histories regularly.
  • Separate personal from corporate outcomes. A pardon or a dropped SEC case does not change Binance’s obligations under its 2023 plea and consent orders.

How to check Binance’s status yourself

  1. EU: download the CASP file of the interim MiCA register from ESMA, which updates it about weekly, and search for “Binance”. Also check your national regulator.
  2. UK: search the FCA Register and the FCA’s warning list.
  3. UAE: search the VARA register for Dubai and the FSRA public register for ADGM.
  4. Japan: check the FSA’s list of registered crypto-asset exchange service providers.
  5. US: watch DOJ, FinCEN and OFAC press releases and the court dockets for changes to the plea or the monitorships.
  6. Elsewhere: use your own regulator’s register. A licences page or an article, including this one, is not a substitute.

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Frequently asked questions

Is Binance regulated?

Some Binance entities are regulated. Its global platform is regulated by the FSRA in Abu Dhabi Global Market, Binance FZE is licensed by VARA in Dubai, and Binance Japan is registered with Japan’s FSA. Binance has no MiCA authorisation in the EU and no FCA authorisation in the UK.

How much did Binance pay in the 2023 US settlement?

About $4.3 billion, under a coordinated resolution with the DOJ, FinCEN, OFAC and the CFTC announced on 21 November 2023. FinCEN’s penalty was $3.4 billion, OFAC’s about $968.6 million and the CFTC’s $2.7 billion. Some payments were credited against others.

Is Binance still under a US compliance monitor?

Public records suggest it is. The DOJ plea required a monitor for at least three years, and FinCEN imposed a five-year monitorship. Binance asked both agencies to end them in 2025, but as of May 2026 neither had decided. We found no announcement that either has ended.

Does CZ’s pardon clear Binance?

No. The pardon, dated 21 October 2025, applies to Changpeng Zhao personally. It does not cancel Binance’s corporate guilty plea or its obligations under the settlement.

Can I use Binance in the EU after July 2026?

Binance has no MiCA authorisation. It withdrew its Greek application in June 2026 and cut back services for EU users when the transition ended on 1 July 2026. Check ESMA’s register and Binance’s notices for your country before you deposit funds.

How can I check whether a Binance entity is licensed in my country?

Find the entity named in Binance’s terms of use for your country, then search for it on your regulator’s public register, such as ESMA’s interim MiCA register, the FCA Register, VARA’s register or the FSA list in Japan.

Sources

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