Hamas Victims Sue Binance And CZ — Accusations Of Terror Financing Rock Crypto World

Christian Encila

Last Updated: November 25, 2025 7:00 pm

3 mins read

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Based on reports, victims of the October 7 attacks in Israel have filed a federal lawsuit against Binance and its founder, Changpeng “CZ” Zhao, claiming the exchange allowed large crypto flows to militant groups.

The complaint lists 306 American plaintiffs who say they were killed, injured, or taken hostage and are demanding damages.

Dormant Accounts Draw Scrutiny

According to the filing, the plaintiffs allege Binance helped move more than $1 billion for Hamas and other US-designated groups over several years.

They claim that more than $50 million passed through the platform after the October 7, 2023 assault. These figures sit at the center of the case and could shape the request for compensatory and treble damages.

The complaint also highlights unusual account activity that lawyers say should have triggered alarms. One example involves an account tied to a Venezuelan woman linked to a Brazilian livestock business.

Binance Holdings faces a lawsuit claiming the cryptocurrency platform “knowingly facilitated” crypto transactions by Hamas before the group attacked Israel on Oct. 7, 2023, killing 1,200 people and taking 250 hostages. https://t.co/B3rO7bAjN6

— The Japan Times (@japantimes) November 25, 2025

Reports say the account received over $177 million in deposits after opening in 2022 and later sent out more than $130 million in withdrawals. Attorneys argue that movements of this size should have been examined more closely.

Large Sums And Strange Flows

Based on reports, the plaintiffs argue that Binance’s controls were weak or ignored, allowing questionable transfers to move across borders.

The lawsuit lists alleged links to Hamas, Hezbollah, Palestinian Islamic Jihad, and Iran’s Revolutionary Guard. Lawyers claim the platform became a tool for shifting money while avoiding standard financial checks.

Total crypto market cap currently at $2.96 trillion. Chart: TradingView

Binance has said it complies with international sanctions laws and has denied having any special ties to terrorist groups.

Its legal history forms part of the background: in late 2023, the company pleaded guilty in a major federal case and paid a $4.32 billion penalty tied to anti-money-laundering and sanctions violations.

That earlier case, along with Zhao’s four-month prison sentence, is referenced in the new complaint.

Legal Stakes And Future Impact

The new lawsuit seeks damages under a US anti-terrorism law that can triple any award. If the plaintiffs succeed, the financial and reputational impact on Binance could be severe.

The complaint was filed in federal court in North Dakota and is separate from another case in Manhattan that is already moving through the court system.

The filing also recalls that Zhao’s prison sentence was later followed by a pardon from US President Donald Trump, something the plaintiffs point to as part of the exchange’s complicated legal path.

They argue this new lawsuit is necessary to push for accountability after years of what they see as weak controls.

Featured image from alliance / Zumapress.com, chart from TradingView

Christian Encila

They say journalists never truly clock out. But for Christian, that's not just a metaphor, it's a lifestyle. By day, he navigates the ever-shifting tides of the cryptocurrency market, wielding words like a seasoned editor and crafting articles that decipher the jargon for the masses. When the PC goes on hibernate mode, however, his pursuits take a more mechanical (and sometimes philosophical) turn.

Christian's journey with the written word began long before the age of Bitcoin. In the hallowed halls of academia, he honed his craft as a feature writer for his college paper. This early love for storytelling paved the way for a successful stint as an editor at a data engineering firm, where his first-month essay win funded a months-long supply of doggie and kitty treats – a testament to his dedication to his furry companions (more on that later).

Christian then roamed the world of journalism, working at newspapers in Canada and even South Korea. He finally settled down at a local news giant in his hometown in the Philippines for a decade, becoming a total news junkie. But then, something new caught his eye: cryptocurrency. It was like a treasure hunt mixed with storytelling - right up his alley!

So, he landed a killer gig at NewsBTC, where he's one of the go-to guys for all things crypto. He breaks down this confusing stuff into bite-sized pieces, making it easy for anyone to understand (he salutes his management team for teaching him this skill).

Think Christian's all work and no play? Not a chance! When he's not at his computer, you'll find him indulging his passion for motorbikes. A true gearhead, Christian loves tinkering with his bike and savoring the joy of the open road on his 320-cc Yamaha R3. Once a speed demon who hit 120mph (a feat he vowed never to repeat), he now prefers leisurely rides along the coast, enjoying the wind in his thinning hair.

Speaking of chill, Christian's got a crew of furry friends waiting for him at home. Two cats and a dog. He swears cats are way smarter than dogs (sorry, Grizzly), but he adores them all anyway. Apparently, watching his pets just chillin’ helps him analyze and write meticulously formatted articles even better.

Here's the thing about this guy: He works a lot, but he keeps himself fueled by enough coffee to make it through the day - and some seriously delicious (Filipino) food. He says a delectable meal is the secret ingredient to a killer article. And after a long day of crypto crusading, he unwinds with some rum (mixed with milk) while watching slapstick movies.

Looking ahead, Christian sees a bright future with NewsBTC. He says he sees himself privileged to be part of an awesome organization, sharing his expertise and passion with a community he values, and fellow editors - and bosses - he deeply respects.

So, the next time you tread into the world of cryptocurrency, remember the man behind the words – the crypto crusader, the grease monkey, and the feline philosopher, all rolled into one.

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