Binance restores crypto withdrawals following technical glitch
Binance has re-enabled cryptocurrency withdrawals after a brief suspension due to a technical hitch. The exchange clarified that the outage resulted from an issue with a middleware service.
Following a quick rectification, the crypto giant posted an update on the platform X, formerly known as Twitter, affirming that the system was back to its standard operation.
Binance’s CEO, Changpeng Zhao, during the glitch’s duration, assured the platform’s users about the security of their assets. He tweeted, “Technical issue with a middleware service impacting withdrawals. Funds are SAFU [Secure Asset Fund for Users]. Our team is on it.”
The disruption took place on a very active trading day, with nearly $100 billion being transacted across all cryptocurrency platforms on Tuesday. This volume marks the highest since the FTX exchange debacle in November 2022, data from CoinMarketCap shows.
Binance had experienced a similar withdrawal suspension in 2021, attributing it at the time to “heavy backlog.” That specific interruption lasted for nearly 25 minutes. In the recent event, the exchange was prompt in addressing the issue, bringing the system back to normal within an hour.
The company’s official account on X thanked its users for their patience and apologized for any inconveniences the disruption may have caused.
Binance made headlines last week after it partnered with several new “regulated and authorized fiat partners” for handling euro (EUR) transactions. This move came just a month after the exchange parted ways with its previous partner, PaySafe. However, the company has yet to disclose the names of its new collaborators.
The latest partnerships strengthen Binance’s foothold in Europe, especially in the wake of recent regulatory challenges and debanking issues after the loss of support from PaySafe.
Earlier in September, Binance urged its customers to convert their fiat currency holdings on the platform into cryptocurrencies. At the time, users reported that a pop-up window suggesting the conversion of fiat balances into crypto appears automatically when they open the mobile application.
Paysafe had been also Binance’s banking partner in the UK, facilitating transactions through the Faster Payments network. The UK Financial Conduct Authority (FCA) raised concerns over Binance’s partnership with Paysafe as it gives the exchange access to the extensive retail payments network. At the time, banks such as Barclays had withdrawn their support to the exchange, resulting in the suspension of banking services.