Binance suspends US dollar deposits and withdrawals

abdelaziz Fathi

Binance, the world’s largest digital asset ecosystem, informed its users that is “temporarily” suspending US dollar withdrawals and deposits using bank accounts starting on Wednesday.

Binance

A Binance spokesperson noted that the service disruption will affect users of US dollar-held bank accounts, who allegedly represent “only 0.01% of our monthly active users leverage.” The development doesn’t impact the vast majority of Binance’s users, who already use their national currency on the P2P market and other exchange transactions. They also will continue to use other payment rails such as credit cards, Google Pay, Apple Pay, and SEPA in the EU.

“We are temporarily suspending USD bank transfers as of February 8th. Affected customers are being notified directly. In the interim, all other methods of buying and selling crypto remain unaffected, including bank transfer using one of the other fiat currencies supported by Binance (including euros), buying and selling crypto via credit card, debit card, Google Pay and Apple Pay and via our Binance P2P marketplace,” he added.

Binance said it will work to restart the service soon and further explained that it its US affiliate, Binance.US, is not affected by the suspension.

The move comes nearly two weeks after Signature Bank told Binance it will no longer be handling SWIFT transactions for its customers below $100,000. Citing a desire to decrease reliance on digital asset deposits, US banks have been pulling back on their exposure to the crypto industry. The New York State-chartered commercial bank is also the banking partner to many of other exchanges including OKX, Bitstamp, Bithumb, eToro, Huobi and Kraken

Binance has similar issues in Brazil when it cut ties with its existing payments partner, Capitual. Citing the new requirements imposed by the Central Bank of Brazil, Capitual said it had to discontinue its services to Binance as the exchange failed to comply with the new rules.

The Brazilian bank, which also provides payments services for other exchanges, said Kucoin and Huobi have adapted their systems to the changes. As such, they remain operational on the Capitual platform, and their customers can continue their transactions with reais regularly.

Binance was reportedly under investigation by the Justice Department, but a split between federal prosecutors is delaying filing criminal charges against the exchange and its CEO.

The original investigation dates back to 2018 when Binance was asked to voluntarily hand over messages from Zhao and 12 other executives and partners on matters including the exchange’s detection of illegal transactions and recruitment of U.S. customers.

Read this next

Market News

Stock Market Analysis: Is NVDA Losing Its Leadership?

Since the beginning of the week, the S&P 500 Index (US500) has seen a modest increase of about 0.58%, whereas NVDA’s share price has experienced a decline of approximately 3.8%. This recent divergence raises concerns among Nvidia stock investors — could it signify a loss of NVDA’s market leadership?

Industry News

ESG: Australian regulator wins first greenwashing court case against Vanguard

Vanguard admitted that a notable portion of the securities within both the Index and the Fund did not undergo the promised ESG scrutiny.

Fintech, Uncategorized

BitMEX integrates HALO from Solidus Labs for cross-market surveillance

““The recent approval of the Spot Bitcoin ETF has piqued the market’s interest. As a result of price volatility, the trading volumes for crypto derivatives have gone up substantially. HALO, with its advanced technology and crypto-native detection architecture, will enable BitMEX to smoothly and safely scale trade surveillance across its increased trading volumes and provide the necessary safeguards for new product launches.”

Reviews

IUX Broker Review

IUX, recently rebranded from IUX Markets, stands as a multi-asset Forex broker recognized for its regulatory compliance across various jurisdictions.

Industry News

Horizon Software rebrands to Horizon Trading Solutions

“Horizon Trading Solutions has seen accelerated global growth over the past year to meet the rising demand for our trading solutions and built-for-purpose technology offering. The choice to rebrand represents a key part of this development, while maintaining our heritage and history in the industry.”

Market News

USDJPY has surged to levels last witnessed in 2022. Should we consider opening a short position?

The recent resurgence of the US dollar has propelled USD/JPY to new heights, touching levels not seen since 2022. This surge comes against the backdrop of stable short-term yields and ongoing economic data that fails to signal a significant slowdown, prompting questions about the extent of current monetary easing measures.

Digital Assets

DED Trends on Twitter After Memecoin Snapshot Announcement

Polkadot-backed community coin #DED, made it to the trending charts on X, demonstrating community’s engagement and interest behind the memecoin. 

Digital Assets

BlockDAG Presale Nears $10 Million Amid Toncoin’s Momentum, Green Bitcoin’s Presale, and the Rise of Other Top Cryptos

This article will examine three top trending topics: Toncoin’s potential, Green Bitcoin’s innovative presale, and BlockDAG’s sustainable mining approach. These cryptocurrencies take centre stage for their uniqueness and innovation.

Digital Assets

Coinbase scores minor victory vs SEC, but lawsuit to proceed

A federal judge in Manhattan, U.S. District Judge Katherine Polk Failla, ruled on Wednesday that the U.S. Securities and Exchange Commission’s (SEC) lawsuit against Coinbase can largely proceed.

<