U.S. families of Hamas attack victims file class action lawsuit against Binance

Core Viewpoint - Families of approximately 300 U.S. citizens affected by the October 7, 2023, attack on Israel have filed a lawsuit against Binance, alleging the exchange facilitated over $1 billion in cryptocurrency transfers for Hamas and other sanctioned groups [1][2]. Group 1: Lawsuit Details - The lawsuit, filed in federal court in North Dakota on November 24, claims Binance marketed itself to terrorist organizations and other illicit actors as being beyond the reach of national laws, neglecting compliance warnings and failing to monitor suspicious transactions [2]. - Plaintiffs are seeking damages under a 2016 U.S. law that permits victims of terrorism to sue foreign entities in American courts [2]. - The 284-page complaint alleges that Binance knowingly facilitated at least $50 million in transfers for groups such as Hamas, Hezbollah, and Iran's Islamic Revolutionary Guard Corps since the October 7 attack [3]. Group 2: Legal Representation and Allegations - Attorney Jonathan Missner, representing some of the families, stated that Binance's actions were not merely compliance failures but part of a business model designed to evade oversight through mechanisms like off-chain transfers and inadequate monitoring controls [4]. - The lawsuit was filed shortly after former President Donald Trump pardoned Binance founder Changpeng Zhao, who had pleaded guilty to violating the Bank Secrecy Act [6]. Group 3: Binance's Response - Binance has publicly rejected the allegations, asserting that it complies fully with international sanctions laws and has made significant investments in compliance and anti-money laundering (AML) measures [5]. - The company claims that less than 0.02% of its platform's flows in 2025 were linked to illicit activities and has expanded its compliance workforce to over 1,280 specialists [5][6].