- Terror victims accused CZ of enabling Hamas by facilitating payments.
- CZ served a prison sentence linked to money laundering violations.
- Binance insists that it complies with international sanctions laws.
Terror victims from the October 2023 attack in Israel have sued Binance and its founder, Changpeng Zhao, for facilitating payments to Hamas and other US-designated terror groups.
Terror Victims’ Position Against Binance
According to reports, 306 Americans, comprising relatives of direct victims of Hamas’ attack, including those killed, injured, or taken hostage, alongside those affected by the actions of other terror groups, joined the lawsuit against Binance and Zhao.
For context, the plaintiffs accused Binance of knowingly enabling Hamas, Hezbollah, Palestinian Islamic Jihad, and Iran’s Revolutionary Guard to facilitate transactions worth over $1 billion. They also said that the crypto exchange enabled the transfer of over $50 million by the terrorists, even after the deadly October 7, 2023, attack in Israel.
Related: Changpeng Zhao Rejects Claims of Proposing Crypto Bank in Kyrgyzstan
Zhao’s Recent Woes and Binance’s Response
It is worth noting that Zhao pleaded guilty to allegations of money laundering violations in connection with Binance’s plea, serving a prison sentence before being pardoned by US President Donald Trump on October 23, 2025, after spending four months in jail.
In the meantime, the plaintiffs complained that Binance intentionally structured itself as a refuge for illicit activity, accusing the cryptocurrency exchange of refusing to alter its core business model even after the plea bargain in the US. Although Binance’s representatives have declined to discuss the lawsuit as of the time of writing, they insist that the crypto exchange is in full compliance with internationally recognized sanctions laws.
Focusing on Other Matters
Zhao, who remains a key figure in the suit and a prominent stakeholder within the crypto cycle, appeared undisturbed with the ongoing developments. His latest post on X focused on something unrelated to the allegation, as he addressed rumors claiming that top Chinese veteran actor Jackie Chan will play a role depicting him in an upcoming Netflix biographical documentary.
The Binance founder debunked the rumor, stating that he is in the final stages of editing the book, which typically takes longer. However, he disclosed his likeness for Chan and asked the public to give the veteran actor a break.
Related: White House Debates Potential Pardon for Former Binance CEO Changpeng Zhao
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