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Families of Oct. 7 Victims Sue Binance in North Dakota, Allege $1 Billion in Terror Transfers

A 284-page filing by 306 Americans says the exchange’s design let sanctioned groups move funds undetected, including after the attack.

Overview

  • The federal suit names Binance, founder Changpeng Zhao, and executive Guangying Chen, and was filed in the U.S. District Court for the District of North Dakota.
  • Plaintiffs allege the platform knowingly enabled Hamas, Hezbollah, Palestinian Islamic Jihad, and Iran’s Revolutionary Guard to move more than $1 billion, with over $50 million after Oct. 7, 2023.
  • The complaint says Binance failed to monitor inbound funds and let designated or seized accounts shift assets internally, undermining blocking and seizure efforts.
  • Forensic tracing cited in the filing links activity to Gaza, Lebanon, and Venezuela and notes access from IP addresses in Kindred, North Dakota, including an account tied to a Venezuelan woman with $177 million in deposits and $130 million in withdrawals.
  • The plaintiffs seek compensatory and treble damages; Binance declined detailed comment and said it complies with internationally recognized sanctions laws, while related civil cases continue following the company’s 2023 U.S. settlement and Zhao’s October pardon.