Binance.US today announced the suspension of USD deposits and indirectly urged users to withdraw their fiat deposits from the platform. The exchange’s banking partners will temporarily stop cash withdrawal services by June 13.
“In an effort to protect our clients and our platform, we are today suspending USD deposits and notifying clients that our banking partners are preparing to pause cash withdrawal channels (in USD) as early as June 13, 2023. We encourage clients to take appropriate action with USD,” Binance wrote. .US at notice.
The US platform is now heading to become a crypto-only exchange. Moreover, it confirmed that services such as trading, storage, deposits, and withdrawals in cryptocurrencies will be operational.
To be clear, we reserve 1:1 for all clients’ assets. The exchange added that any halt in processing withdrawals may be due to high volumes and the closure of banks at the end of the week.
The US Securities and Exchange Commission (SEC) has taken to using highly aggressive and intimidating tactics as it seeks to wage an ideological campaign against the US digital asset industry. https://t.co/AZwoBOgsqS And our business partners have spared no effort in using these methods that have created … pic.twitter.com/rlIe6swIoY
– Binance.US 🇺🇸 (BinanceUS) June 9, 2023
SEC action against Binance
The move came after the US Securities and Exchange Commission (SEC) formally charged Binance, its US affiliates, and CEO Changpeng Zhao with various charges, including consolidating client funds, running an illegal exchange, and listing unregistered securities.
According to the exchange, the suspension of monetary services was prompted as Binance.US banking partners were facing regulatory pressure to work with the exchange.
Earlier this year, two of Binance.US’ banking partners, Silvergate Bank and Signature Bank, collapsed. The exchange was then reported to have offered securities-based services using intermediary banks and was looking for a direct banking partner.
Meanwhile, the Australian subsidiary of Binance was also having problems with its banking partners. The unit first suspended AUD deposits and then withdrawals as the local payment service provider stopped supporting. Since then, Binance Australia has been looking for an alternative banking partner to bring back the services.
Binance.US today announced the suspension of USD deposits and indirectly urged users to withdraw their fiat deposits from the platform. The exchange’s banking partners will temporarily stop cash withdrawal services by June 13.
“In an effort to protect our clients and our platform, we are today suspending USD deposits and notifying clients that our banking partners are preparing to pause cash withdrawal channels (in USD) as early as June 13, 2023. We encourage clients to take appropriate action with USD,” Binance wrote. .US at notice.
The US platform is now heading to become a crypto-only exchange. Moreover, it confirmed that services such as trading, storage, deposits, and withdrawals in cryptocurrencies will be operational.
To be clear, we reserve 1:1 for all clients’ assets. The exchange added that any halt in processing withdrawals may be due to high volumes and the closure of banks at the end of the week.
The US Securities and Exchange Commission (SEC) has taken to using highly aggressive and intimidating tactics as it seeks to wage an ideological campaign against the US digital asset industry. https://t.co/AZwoBOgsqS And our business partners have spared no effort in using these methods that have created … pic.twitter.com/rlIe6swIoY
– Binance.US 🇺🇸 (BinanceUS) June 9, 2023
SEC action against Binance
The move came after the US Securities and Exchange Commission (SEC) formally charged Binance, its US affiliates, and CEO Changpeng Zhao with various charges, including consolidating client funds, running an illegal exchange, and listing unregistered securities.
According to the exchange, the suspension of monetary services was prompted as Binance.US banking partners were facing regulatory pressure to work with the exchange.
Earlier this year, two of Binance.US’ banking partners, Silvergate Bank and Signature Bank, collapsed. The exchange was then reported to have offered securities-based services using intermediary banks and was looking for a direct banking partner.
Meanwhile, the Australian subsidiary of Binance was also having problems with its banking partners. The unit first suspended AUD deposits and then withdrawals as the local payment service provider stopped supporting. Since then, Binance Australia has been looking for an alternative banking partner to bring back the services.