Binance Disputes DOJ Memo as Abu Dhabi Licence Raises Cooperation Questions

Binance has moved to quash reports that it intends to reduce cooperation with United States law enforcement, insisting that its process for handling requests from American agencies “will remain unchanged” despite the emergence of an internal Department of Justice memo that suggested otherwise.

The exchange’s Head of Corporate Communications told BeInCrypto that Binance has already contacted both the DOJ and its regulator, the Abu Dhabi Global Market (ADGM), to clarify that the exchange has no plans to alter its relationship with US investigators. Binance said it has not seen the memo itself but disputes the conclusion reportedly drawn from it.

A memo warning of MLAT reliance

The dispute stems from reports of a DOJ memo warning prosecutors that they might receive less assistance from Binance in crypto-related investigations. According to that memo, investigators would need to rely on Mutual Legal Assistance Treaties rather than courtesy account freezes when seeking to freeze or seize assets — a shift that would introduce treaty-based delays into what has previously been a more direct process.

Binance attributes the confusion to interpretations of ADGM’s data protection rules, which came into sharper focus after Binance.com secured its licence under the Abu Dhabi regulatory framework in January 2026. ADGM guidance generally restricts the transfer of personal data outside the UAE, a provision that could, on its face, require overseas law enforcement requests to proceed through formal treaty channels rather than direct exchange cooperation.

However, the same ADGM guidance also permits data transfers connected to legal claims and explicitly cites requests from US authorities as a valid example, according to the reporting. Binance argues this gives it a clear legal basis to continue cooperating directly with American agencies without routing requests through MLAT processes.

Scrutiny rooted in the 2023 settlement

The episode has drawn attention because Binance’s relationship with the DOJ remains under close watch following its 2023 guilty plea over anti-money laundering and sanctions violations, which resulted in a $4.3 billion settlement. That agreement initially required an independent compliance monitor, though the DOJ has since scaled back corporate monitorships across the industry — a shift that has increased the practical importance of voluntary cooperation from exchanges such as Binance in ongoing investigations.

Binance maintains that its engagement with US authorities is expanding rather than contracting, and says it reaffirmed its commitment to combating illicit blockchain activity when it contacted the DOJ to address the reports. The DOJ has not publicly commented on the memo, leaving open the question of whether its internal guidance will be revised or clarified.

For European observers, the episode illustrates the compliance complexities that arise as exchanges licensed in one jurisdiction attempt to satisfy law enforcement obligations in another. Binance’s position under the ADGM framework, layered atop its existing US settlement obligations, underscores how cross-border data protection rules can create ambiguity even where an exchange insists its underlying practice has not changed.

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