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Crypto’s Role in Iran’s Global Terrorism Exposed by New Lawsuit Against Binance

The logo of cryptocurrency exchange Binance. Illustration: Reuters/Dado Ruvic

Cryptocurrency has come under increasing scrutiny for its alleged role in subverting the United States’ sanctions against Iranian state-sponsored terrorism, with the world’s top platform receiving an unwanted spotlight this week.

On Monday, lawyers in North Dakota sued Binance, the world’s largest cryptocurrency exchange, and its CEO, Changpeng Zhao, alleging the company had facilitated more than $1 billion in funding to designated terrorist groups backed by the Islamic regime in Iran. The US federal lawsuit was filed on behalf of victims of Hamas’s Oct. 7, 2023, invasion of and massacre across southern Israel.

The suit represents the latest instance of cryptocurrency allegedly playing a role in Iran’s efforts to destroy the Jewish state. Leaders of Iran and its network of terrorist groups named in the complaint, including Hamas, Hezbollah, and Palestinian Islamic Jihad (PIJ), routinely declare their goal of wiping Israel off the map.

Israel has previously clashed with Binance in its counter-terrorism efforts. In May 2023, the Jewish state seized nearly 200 accounts on the platform linked to Islamist groups, including ISIS. In November 2022, researchers at Nobitex said that since 2018, Binance had processed $7.8 billion through Iran-linked accounts.

This week’s suit adds further evidence of the recurring link between Iranian terrorism and cryptocurrency, identifying the high profit potential for those willing to attempt to dodge US sanctions against terror financing.

Binance has declined to discuss the lawsuit but told Reuters that “we comply fully with internationally recognized sanctions laws.”

Jonathan Missner, the attorney who represents the Oct. 7 victims and their families named as plaintiffs in the suit, said that Binance’s alleged facilitating of payments to terror groups “was not a compliance” but rather “a business model.”

“Our investigation shows that Binance built systems designed to evade oversight, using its off-chain network and weak controls to move enormous sums for sanctioned groups,” he said in a statement.

The lawsuit states that “by knowingly moving and concealing the movement of hundreds of millions of dollars for Hamas, the IRGC [Iran’s Islamic Revolutionary Guard Corps], Hezbollah, and PIJ, Defendants Binance Holdings Limited, Changpeng Zhao, and Guangying ‘Heina’ Chen provided pervasive and systemic assistance to these terrorist organizations.”

Chen is described in the suit as a co-founder of Binance and “de facto CFO.” The lawsuit charges that Zhao and Chen “materially contributed to the Oct. 7 attacks and to subsequent terrorist attacks perpetrated by Hamas, Hezbollah, and PIJ.”

One of the plaintiffs named in the suit is Eyal Balva, whose son Omer died in combat following the Oct. 7 atrocities while serving in the Israel Defense Forces. “Binance’s platform moved the money that helped fund the violence that destroyed our family,” he said.

Zhao and Binance — the world’s largest crypto trading platform with $300 billion in daily trades and more than 280 million users — have previously faced penalties for criminality. As part of a 2023 settlement agreement with the US Treasury Department’s Financial Crimes Enforcement Network, Binance paid $4.3 billion in fines and restitution. Zhao was previously convicted of money laundering and served four months imprisonment. US President Donald Trump pardoned Zhao, with analysts noting the decision came following a sizable investment by Binance into the Trump family Crypto exchange platform World Liberty Financial.

The lawsuit also notes a money laundering scheme involving transferring gold from Venezuela to Iran to overcome American sanctions, and that Binance “pitched itself to terrorist organizations, narcotics traffickers, and tax evaders as beyond the reach of any single country’s laws or regulations.”

On Wednesday, Iran’s Foreign Minister Abbas Araghchi put out a statement condemning the possibility of potential US military action against Venezuela, labeling the Trump administration’s posture a “bullying approach.”

The filing against Binance comes in a year in which Australian authorities have highlighted the alleged role of cryptocurrency in directing antisemitic hate crimes in Melbourne and Sydney, prompting the expulsion of Iran’s ambassador in August.

Australian Security Intelligence Organization (Asio) chief Mike Burgess said that his team had found connections “between the alleged crimes and the commanders in Iran’s Islamic Revolutionary Guard Corps, the IRGC.”

He added, “They’re just using cut-outs, including people who are criminals and members of organized crime gangs to do their bidding or direct their bidding.”

Cryptocurrency has long functioned as a tool of Iran to evade US sanctions. The high energy costs from the so-called “mining” of cryptocurrency — powerful computers must run complex programs in order to generate additional tokens for trading — has put a strain on Iran’s electrical system. Mohammad Allahdad, Iran’s deputy director of power generation, said that the business practice “represents around 5 percent of total electricity consumption” and “it accounts for up to 20 percent of the current power deficit.”

Allahdad also warned that the heat from crypto mining devices was “intense” and could cause fires. “We’ve had multiple reports from fire departments about fires linked to mining rigs, some of which spread to neighboring homes,” he noted.

Now is potentially the worst time for fires in Iran, given a persistent devastating drought and ongoing government mismanagement of the water system. The situation has reached the point that Iran’s president said last week that the country had “no choice” but to evacuate and move the capital Tehran.

“The truth is, we have no choice left — relocating the capital is now a necessity,” Iranian President Masoud Pezeshkian said in a speech.

The US State Department recently noted that Iran has provided Lebanese Hezbollah with more than $100 million each month this year. Critics of the regime have pointed out that funds spent in the war effort to destroy Israel could have gone toward improving infrastructure to better support the civilian population. Analysts at the Center for Strategic and International Studies noted that one-third of the water supply to Tehran is lost through leaks and theft.

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Why I’m vibing with the pope’s first big statement

I have long been obsessed with the Vatican and the inner workings of the papacy. (I majored and did my Master’s in religious studies.) But usually other people are not as tickled as I am by analyzing the newest theological statements from the Holy See.

Not this week. Pope Leo XIV just put out his first encyclical — the term used to refer to official statements outlining the church’s stance on a topic — and it has gone viral. “Spitting fire right out the gate,” said one of many similar trending posts, as though the encyclical was a rap song.

The topic is buzzy: AI, which the pope casts as one of the greatest threats to human flourishing and morality. (The encyclical is titled “Magnifica Humanitas,” or “Magnificent Humanity” in English, if that gives you the gist.) “Humanity, created by God in all its grandeur,” it opens, “ is today facing a pivotal choice: either to construct a new Tower of Babel or to build the city in which God and humanity dwell together.”

The document notes many of the concrete risks of AI — sexual abuse, distortion of facts, job loss — and calls for pragmatic solutions. But it is, at its heart, a testament to what makes humans human, written with palpable adoration for the people of the world: our creativity, our empathy, even our weaknesses. It’s a declaration that machines can never have the ineffable qualities of God’s children.

Structuring our world around technology, Leo writes, reduces “creation to an object of exploitation and human beings to mere cogs in a system driven toward ever greater efficiency.”

Later, in a paean to the importance of deep thought over easy answers, he goes on: “The speed and ease with which answers or summaries can be obtained risk extinguishing the desire to ask questions,” he writes, calling on the world “to protect our young people from the promise of the perfect machine” and warning against rendering “human thought seemingly superfluous precisely when it is most needed.”

“Magnificatus Humanitas” is a major statement, both in length — more than 43,000 words — and in symbolism. A pope’s first encyclical indicates the issues they believe are most important to the church, and signals the likely direction of their papacy.

That direction, for Pope Leo, is to be a voice for moral leadership, writ large. He addressed the encyclical not only to Catholics or even Christians, but “to all men and women of goodwill,” and cited thinkers like Hannah Arendt and J.R.R. Tolkien alongside the Bible.

It’s a declaration of a new — or, arguably, very old — relevance for religious leaders. As people rush through our increasingly fast-paced, frantic world, striving to keep up with the newest technology or geopolitical shift affecting markets and jobs, the slow-moving, zoomed-out perspective of religious leaders seems to be more and more important.

The Vatican held massive authority both moral and military for much of Western history. But its sway faded in the modern age. As democracy rose, Christianity broke into factions and religion’s prominence weakened, leaving the Church without the same ability to bestow a divine mandate on nations and rulers.

So many modern popes have kept their sights more narrowly focused on the theological. Even Pope Francis, who was a liberal, modernizing force for the church, and spoke out strongly on topics like the environment and immigration, focused three of his four encyclicals on Christian theological concepts like the Sacred Heart and Christianity as the world’s guiding light.

Pope Leo, however, seems to have found his way to modern, secular relevance by speaking out clearly on major issues of the day. He notes that he drew inspiration for “Magnificatus Humanitas” from Pope Leo XIII, an influential pope in the late 1800s and the inspiration for the modern Leo’s own papal moniker, whose 1891 encyclical “Rerum Novarum,” on the economy and conditions of the working class, was criticized for insufficient focus on the Gospel. The current pope’s own document is remarkably concrete and political.

Making political statements isn’t new for Leo, but the encyclical canonizes his boldness into an official form. In the past few months I’ve written about the ways in which Pope Leo has used sermons and statements to directly counter those made by U.S. leaders. After Pete Hegseth made a speech implying the U.S. military is doing God’s will, the pope gave a homily saying that prayers for war cannot be heard by God. He has made strongly worded comments about the rights of immigrants as Trump announced increased ICE raids, and made a point of appointing foreign bishops in American parishes. He has refused to visit the U.S. despite the fact that he is American and has been invited numerous times, including for the nation’s 250th birthday; he is instead planning to visit an island that serves as a refugee landing point in the Mediterranean.

It’s not all that surprising that Leo is making pronouncements on the justness of wars; popes have always given commentary on the world, albeit often less pointedly. Of course, Catholics have always looked to the pope for moral leadership — though that is increasingly under question, as renegade Catholics doubt the pope. (Even J.D. Vance, a Catholic convert with a book coming out about his conversion, has warned the pope to be “careful” with his theological interpretations — a near heretical statement. That’s how Protestantism came about.) The difference today is that everybody is listening.

I think the reason is that there is a certain ineffable quality that can’t be accounted for in so much of modern-day discourse in our metrics-focused world. Everything needs to be provable with a statistical analysis or some quantifiable indicator, or it needs to be as profitable as possible to extract value. But so much of what is most valuable in the human experience is intuitive — experiences and emotions like love, joy, transcendence. Connection with each other. Religious leaders have been honing the language to talk about these qualities for centuries, and they guard one of the only arenas in which the intangible remains central.

Of course, there are also plenty of issues with religious institutions, and the Vatican in particular is famous as a site where abuses of power were hidden and protected. But “Magnifica Humanitas,” and its virality, points toward a new relationship with religion, and a newly important role for it to play.

Or maybe that’s just wishful thinking, a hope for my own increased importance as a religion reporter.

The post Why I’m vibing with the pope’s first big statement appeared first on The Forward.

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How can I live freely as a Jew in a world where strangers rip my mezuzah off my doorframe?

Twice, the mezuzah on my front door was ripped off.

The first time, I was shocked. The second time, I made a decision that still pains me. I did not put it back up.

This was before the Hamas attack of Oct. 7, 2023.

That is the part I keep coming back to. The fear did not begin after the Hamas attacks. It was already there, intruding with the quiet calculation of whether a small Jewish symbol on my home made me less safe.

A mezuzah is not a political statement. It makes no argument about a government or a war. It is a sacred object, a marker of memory, a tiny declaration that says: Jews live here. I thought about that mezuzah again recently when the Anti-Defamation League released its annual audit showing that antisemitic physical assaults in the United States reached record highs in 2025. That increase reflects something many Jews already feel in daily life: the slow erosion of ease, the daily calculation of whether to speak up or stay quiet — things I have felt since the first time my mezuzah was violently torn off my doorframe.

Since then, the realm in which I feel safe as a visibly Jewish person has been shrinking from all directions.

After the Oct. 7 attack, the bulletin boards in my apartment building began filling with calls to boycott Israel. Campaign flyers for a Jewish political candidate who came to speak there were defaced with Hitler mustaches. I learned to scan the walls before I scanned my mail.

This was not happening on a campus quad or in some distant place. It was happening where I live.

Then, among my mother’s things, I found a Star of David necklace from the 1930s — marcasite set against black onyx, delicate and old. A boyfriend had given it to her when they were both 14.

I put it on in Florida, where I spend much of my time caring for my mother. I loved wearing it. It felt like more than jewelry. It felt like inheritance, memory, and a small way of carrying my family with me.

But when my mother knew I was going back to New York, she told me to take it off.

My mother is 102. She is not easily frightened. She has lived long enough to know when the temperature in the room has changed. She was not making a political argument. She was trying to protect her daughter.

I still wear that Star of David. But I admit I am selective. In New York, there are moments when I leave it visible and moments when I tuck it under my shirt. That calculation itself tells me something about the world I am moving through.

Recently, in a private Facebook group for women essayists, I shared a personal piece I had written for the United Kingdom-based Jewish Chronicle about how Oct. 7 changed life for my mother and me. It was not a political manifesto. It was a reflection on fear, Jewish identity, aging and visibility.

And still, I was attacked by other writers.“What about Gaza?” I was asked. The message was clear: even my personal Jewish pain had to pass a political test before it could be acknowledged.

That is the narrowing.

This ugliness is coming from more than one direction now. It stems from old conspiracy theories on the right and newer moral certainties in some of the progressive spaces where I once felt most at home. Different language brings about the same result: Jews become less human, less particular, less entitled to fear.

That collapse is what frightens me most: the definitional collapse between Jew and Israeli; Israeli and Israel’s government; Jewish symbol and political provocation; mezuzah and target.

As Jews like me reckon with that collapse, we must reckon with how much we’ll go along with it.

Right now, too often, Jews are being asked to choose between our own safety and our compassion for others. We should be able to prioritize both. I am a Zionist. I believe in the right of the Jewish people to a homeland. I also believe Palestinians are human beings who deserve freedom, dignity, and protection from suffering.

These beliefs should not cancel each other out. They should make us more careful, more humane, more committed to truth.

Yet now we must choose between speaking about antisemitism and being accused of indifference to other hatreds. That is no way to live.

Since Oct. 7, I have found myself going to synagogue on Shabbat, something I never did before. I was a High Holiday Jew. Now I seek out rooms where I do not have to explain why this moment feels frightening. I have learned where I feel seen. I have learned who can hold my fear without turning it into an argument.

The mezuzah I did not put back up is small. It fits in the palm of my hand.

But what it represents is not small: memory, faith, survival, home, and the right to be visibly Jewish without fear.

When I did not put it back up, I told myself I was being practical. But now — after Oct. 7, the bulletin boards, my mother’s warning, and the explosive allegations I’ve seen travel through respected media without sufficient care or verification — I understand it differently.

I was not just protecting a doorframe. I was learning to shrink.

The post How can I live freely as a Jew in a world where strangers rip my mezuzah off my doorframe? appeared first on The Forward.

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Podcast: A lively conversation in Yiddish with actress Lea Koenig

ס׳איז לעצטנס אַרויס אַ פּאָדקאַסט מיט דער באַליבטער אַקטריסע אין ישׂראל, ליאַ קעניג, וועלכע איז הײַנט צום בעסטן באַקאַנט ווי די ייִדיש־רעדנדיקע באָבע פֿונעם פּערסאָנאַזש שלום שטיסל אין דער ישׂראלדיקער טעלעוויזיע־סעריע „שטיסל“.

אינעם שמועס באַטייליקן זיך אויך יניבֿ גאָלדבערג — דער מחבר פֿון אַ נײַער ביאָגראַפֿיע וועגן איר אויף ענגליש; דער איבערזעצער און דראַמאַטורג מיכל יאַשינסקי, און דער ייִדישער זינגער און קולטור־טוער חיים וואָלף. דעם פּאָדקאַסט האָט טראַנסמיטירט די באָסטאָנער ראַדיאָ־פּראָגראַם „דאָס ייִדישע קול“.

ליאַ קעניג גיט איבער אירע זכרונות במשך פֿון איר לאַנגער קאַריערע אין ייִדישן טעאַטער, ווי אויך אינעם העברעיִשן טעאַטער, טעלעוויזיע און קינאָ. כּדי צו הערן דעם פּאָדקאַסט, גיט אַ קוועטש דאָ.

The post Podcast: A lively conversation in Yiddish with actress Lea Koenig appeared first on The Forward.

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