PANews reported on March 13 that, according to The Block, a federal judge in Alabama dismissed a lawsuit accusing Binance entities and Binance.US operator BAM Trading Services of financing terrorism, ruling that the plaintiff's complaint did not meet the basic standards for federal complaints. In the order, the district judge noted that the plaintiff's amended complaint was flawed in both law and fact, and was a typical "shotgun complaint"—conflating multiple defendants with the plaintiff and failing to clearly link specific allegations to any particular party.

The lawsuit, filed by victims and families of attacks by Hamas and Palestinian Islamic Jihad, seeks damages under the Anti-Terrorism Law and other pretexts. The complaint, exceeding 100 pages and containing hundreds of allegations, repeatedly lumps the defendants together without specifying the concrete actions allegedly taken by each entity. The judge gave the plaintiffs a deadline of April 10 to file amended versions of the complaint and warned that failure to rectify the deficiencies would result in the case being dismissed.