Justice Against Sponsors of Terror Group Sue Binance Over Hamas Funding

More than 300 Americans who were caught in Hamas’s October 7, 2023, attack on Israel are suing Binance. They say the exchange helped move more than $1Bn for militant groups.

The plaintiffs include victims and families of those killed, injured, or taken hostage. They filed the civil case in a US federal court in North Dakota under the Anti-Terrorism Act and its JASTA provision.

The complaint, released on 24 November, names Binance, former CEO Changpeng Zhao, and senior executive Guangying Chen. It claims the company knowingly handled transactions for Hamas and other US-designated terrorist groups before and after the October 7 assault.

BREAKING

BINANCE FOUNDER CZ IS NOW ACCUSED OF HELPING SEND MONEY TO HAMAS.

THIS CAN BE REALLY BAD FOR THE MARKET.

WHAT IS REALLY GOING ON?? pic.twitter.com/kkg5aQLIAu

— Wimar.X (@DefiWimar) November 24, 2025

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What Role Does Binance’s Regulatory History Play in the New Case?

Court filings say 306 American victims and relatives are part of the case. 

They argue Binance enabled more than $1Bn in crypto transfers tied to Hamas, Hezbollah, Palestinian Islamic Jihad, and Iran’s Islamic Revolutionary Guard Corps, including more than $50M after the October attack.

The suit says Binance “knowingly facilitated” these transfers and built its business in a way that allowed illicit activity to flow through the platform, in violation of US counter-terrorism laws.

The 284-page filing includes several examples of accounts the plaintiffs link to suspected terror financing and related criminal networks. The lawsuit flagged an account run by a 26-year-old Venezuelan woman tied to a Brazilian livestock company. Court filings say the account took in more than $177M and moved out over $130M, even though there was no clear source of legitimate income behind those flows.

Plaintiffs also point to two transfers that went through internet addresses in Kindred, North Dakota. They say this small detail helps establish US jurisdiction for the case.

The complaint leans on Binance’s history with American regulators. In 2023, the company and its founder, Changpeng Zhao, admitted to anti-money-laundering and sanctions violations. 

They agreed to pay about $4.3Bn in penalties and acknowledged they failed to report transactions tied to Hamas’s Al-Qassam Brigades and other sanctioned groups. Zhao later spent four months in prison and received a presidential pardon from Donald Trump in October 2025.

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Why Lawyers Say Binance Offered “Substantial Assistance” to Terror Groups?

Lawyers argue that those earlier admissions strengthen their claim under JASTA. They say it shows Binance offered “substantial assistance” to foreign terrorist groups. They could face triple damages if the court rules in their favor. Attorney Lee Wolosky said in the filings that the company put profit before basic counter-terrorism duties, and he will hold it accountable.

The complaint also points to internal compliance chats, claiming some Binance employees joked that customers were “here for crime.” Lawyers say exchanges like this show senior staff knew the platform was being used for money laundering and other illegal activity. Binance says it is aware of the lawsuit but has declined to comment on ongoing litigation. 

The company maintains that it has, in recent years, rebuilt its compliance, sanctions, and anti-money-laundering controls and that it now follows internationally recognised sanctions rules.

Outside analysts warn that public debates often inflate headline numbers about terrorists’ use of crypto.

Blockchain analytics firms Chainalysis and Elliptic have previously estimated confirmed Hamas-linked crypto fundraising in the low millions of dollars. 

That is far below the $1Bn figure cited in the lawsuit. They note that some estimates count all funds moving through intermediaries, rather than only those actually controlled by militant groups.

The North Dakota case, filed as Balva v. Binance Holdings and brought on behalf of more than 300 plaintiffs, joins other terror-financing suits against Binance already in US courts, including a separate case in Manhattan federal court.

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The post Justice Against Sponsors of Terror Group Sue Binance Over Hamas Funding appeared first on 99Bitcoins.