Defying Sanctions: BingX Supports Iranian Users
The BingX cryptocurrency exchange has come under scrutiny for allowing sanctioned Iranian users to bypass restrictions. The exchange openly caters to Iranian users, with a Persian version of its website and officials making statements in Persian on its Telegram group. One statement, when translated, indicated that Iranian users are welcome on the exchange and that they can even authenticate with a national card. The exchange enables Iranian users to swap their rials for Tether, a practice that is prohibited under the United States Treasury Department’s Office of Foreign Assets Control (OFAC) rules.
Iran has been subject to various sanctions since 1979, with the U.S. and the United Nations accusing the BingX exchange of several violations of international law, including terrorist funding and nuclear weapons development. Iran has denied these allegations. Generally, the sanctions prevent Iranian residents from using centralized cryptocurrency exchanges, and such exchanges risk being blocked from U.S. and global markets if they engage with Iranian users.
The OFAC states that Foreign Financial Institutions (FFIs) face potential sanctions if they knowingly facilitate transactions involving the purchase or sale of Iranian rials. Despite this, it appears that on BingX, the Iranian rial can be directly exchanged for other cryptocurrencies. With a daily trading volume of over $974 million, according to CoinMarketCap, BingX is one of the top 20 crypto exchanges worldwide. The exchange is registered as a financial services company in Lithuania and operates under licenses in Australia and Singapore, implying compliance with U.S. sanctions.
Despite these requirements, BingX actively solicits Iranian users on its social channels and website. This behavior is not exclusive to BingX, as other licensed cryptocurrency exchanges, such as Binance, have also been caught circumventing sanctions for Iranian users. In 2022, Binance was accused of serving Iranian citizens but denied the claim, emphasizing its commitment to sanctions compliance. In 2023, Binance agreed to a $4.5 billion plea deal with the U.S. authorities for failing to implement effective anti-money laundering policies.
Similarly, in 2023, Poloniex, another crypto exchange, paid a $7.6 million settlement to the OFAC for its failure to adequately screen users from sanctioned countries. These cases highlight the challenges faced by exchanges in ensuring compliance with sanctions and preventing users from restricted regions from accessing their platforms.
7 thoughts on “Defying Sanctions: BingX Supports Iranian Users”
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The fact that BingX enables Iranian users to swap their rials for Tether directly is a clear violation of the United States Treasury Department’s Office of Foreign Assets Control rules. They should definitely be held accountable for this!
BingX is knowingly violating US and international law by allowing Iranian residents to use their platform. This should not be tolerated. 🚫🌐
BingX’s daily trading volume of over $974 million is nothing to scoff at, but it’s concerning that they might be operating against the U.S. sanctions. They need to address these issues and ensure compliance before facing serious consequences.
How can BingX claim compliance with US sanctions while actively soliciting Iranian users? Their actions are contradicting their words.
It’s outrageous that BingX can operate under licenses in Australia and Singapore while facilitating circumvention of sanctions. This needs to be stopped immediately.
It’s disappointing to see BingX, a top 20 crypto exchange, involved in such unlawful activities. They should be held accountable for their actions.
This is absolutely unacceptable! BingX should not be allowing sanctioned Iranian users to bypass restrictions. They are clearly violating international law.