- Binance is reportedly set to suspend all US dollar (USD) deposits and withdrawals.
- According to a crypto news report on the matter, the suspension starts on 8 February 2023.
- Binance will reportedly continue to support all other payment methods, including bank transfers in another currently supported fiat currency.
Binance will temporarily pause US dollar deposits and withdrawals on its exchange platform, with the planned move expected to begin 8 February, 2023.
This is according to the latest cryptocurrency news by CNBC.
Binance set to suspend USD deposits and withdrawals
On Monday afternoon, CNBC published a news story that said the world’s largest crypto exchange Binance was looking to briefly halt USD deposits and withdrawals beginning Wednesday this week.
According to the details shared with CNBC by a Binance spokesperson, the upcoming USD-related pause will last a few weeks as Binance tries to secure a new banking partner. However, the issue will only affect a tiny number of the exchange’s monthly active users, said to be about 0.01%. Binance will reportedly notify all affected customers directly.
While the source offered no other information regarding the USD withdrawals being unavailable from the given date, they did confirm that customers can still buy and sell cryptocurrencies via all other supported payment methods. The exchange will also continue to support bank transfers via another fiat currency that’s currently supported, the person familiar with the issue said.
Binance is the largest crypto exchange by trading volume and has a US-based subsidiary Binance.US. The US-based unit, which is Financial Crimes Enforcement Network (FinCEN) regulated, has noted that the suspension will not impact its operations.
In a tweet following the news, Binance.US said this would be the case unless there’s an official notice from them. In this case, the USD pause is likely to only impact customers using the global platform.
The price of Binance‘s native coin BNB was largely muted at the time of writing, changing hands around $328 at 15:05 pm ET.
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Binance, one of the world’s largest cryptocurrency exchanges, is reportedly suspending the ability of its customers to deposit and withdraw US dollars (USD).
According to a report by NewsCrypto, Binance informed customers on their WeChat group that they would be suspending USD deposits and withdrawals until April 30th. The group allegedly cited a notification from the platform to users stating that it was “due to a new regulation” for the suspension.
The news came as a surprise to users, as it wasn’t long ago that Binance expanded its services to include the ability to deposit and withdraw USD from the exchange. This new service allowed users to convert their fiat currency into cryptocurrencies without having to use a third-party.
It is not clear what regulation Binance is referring to and why the exchange is suspending USD deposit and withdrawals. The move could indicate that the exchange is looking to comply with the US government’s recent efforts to clamp down on cryptocurrency exchanges and their operations.
While some have speculated that the suspension is related to the upcoming tax season in the US, there is no confirmation of this.
Binance is yet to make an official announcement regarding the suspension of USD deposits and withdrawals. Until then, users will have to wait and see what measures Binance takes to ensure that all of its operations meet the required regulations.
