TLDR:Binance cut sanctions-related exchange volume exposure by 96.8%, falling from 0.284% to just 0.009% by July 2025.Direct exposure to four major Iranian crypto exchanges dropped 97.3%, from $4.19M in 2024 to $110K by January 2026.Over 71,000 law enforcement requests were processed in 2025, with $131M in illicit funds confiscated by authorities.More than 1,500 Binance employees, roughly 25% of global headcount, are dedicated to compliance-related functions worldwide.Binance has reported a 96.8% reduction in sanctions-related exposure between January 2024 and July 2025. The exchange made this disclosure in a formal statement addressing recent media coverage of its compliance practices. Sanctions-related flows dropped from 0.284% of total exchange volume to just 0.009% over that period. The figures come alongside data showing over 71,000 law enforcement requests processed and more than $131 million in illicit funds confiscated in 2025 alone.Sanctions Exposure Falls to Near-Zero Across Key Risk CategoriesThe 96.8% reduction in overall sanctions-related exposure marks one of the most measurable outcomes from Binance’s compliance push over the past two years. The exchange credited expanded sanctions screening, enhanced transaction monitoring, and stronger wallet screening controls for driving those results. These were not incremental updates but structural changes implemented across the entire compliance infrastructure.Binance also narrowed in on Iranian cryptocurrency exchange exposure, a category that drew specific attention in recent reporting. Direct exposure to the four major Iranian exchanges fell by more than 97.3%, moving from $4.19 million in January 2024 to $110,000 by January 2026. That figure represents a sharp and sustained decline across a defined two-year window.The exchange further stated it outperformed 10 major global peers in managing exposure to those same Iranian platforms. Binance positioned this as evidence that its controls were not just improving internally but performing ahead of broader industry benchmarks. The comparison was based on independent industry data rather than self-reported metrics.At every stage, Binance followed its industry-leading compliance procedures and coordinated with relevant authorities.The outcome: 96.8% reduction in sanctions-related exposure since 2024, 71,000+ law enforcement requests processed, and $131M+ supported in confiscations in… pic.twitter.com/e9MQbuITq3— Binance (@binance) February 22, 2026A known technical constraint applies across this space. Public blockchains allow users to send funds to exchange deposit addresses without prior platform approval. Because of this, no exchange operating on public blockchains can reduce sanctions exposure to absolute zero. Binance addressed this directly, pointing to post-receipt monitoring, on-chain surveillance, and escalation procedures as the practical tools used to manage risk after funds arrive.Compliance Infrastructure and Law Enforcement Collaboration Drive the ResultsBinance now has 593 full-time employees within its compliance business unit. An additional 978 employees and contractors support compliance-related roles across technology, product, and customer-service functions. In total, more than 1,500 individuals — approximately 25% of global headcount — are tied to compliance responsibilities in some capacity.The exchange holds licenses, registrations, and authorizations in 20 jurisdictions. It also became the first crypto exchange to secure full authorization under Abu Dhabi’s Financial Services Regulatory Authority regulatory framework. These regulatory milestones run parallel to the operational compliance work happening internally.Law enforcement collaboration forms another measurable layer of the program. In 2025, Binance processed more than 71,000 law enforcement requests from agencies worldwide. Its teams also delivered over 160 training sessions to help law enforcement agencies build capacity for handling crypto-related investigations.Beyond training and information sharing, the exchange supported authorities in recovering more than $131 million linked to illicit activity in 2025. Binance also confirmed it launched a structured internal investigation in mid-2025 after receiving information from external law enforcement sources. Accounts flagged during that process were eventually offboarded, and relevant findings were shared with appropriate regulatory and government stakeholders throughout. The post Binance Compliance Data Shows 97% Sanctions Reduction Since 2024 Amid Media Scrutiny appeared first on Blockonomi.