Binance, the world’s largest cryptocurrency exchange, said it will temporarily suspend US dollar deposits and withdrawals using bank accounts, and will work to restart the service soon.
The suspension will begin on Wednesday, according to a Binance spokesperson. No reason was given for the suspension. Bank transfers using other fiat currencies, such as the euro, are not affected, the representative said.
Christopher Pike/Bloomberg
“It is worth noting that only 0.01% of our monthly active users take advantage of USD bank transfers, but we are working hard to restart the service as soon as possible,” the spokesperson said in an emailed statement. Other methods of buying and selling cryptocurrency on Binance, such as via credit card, Google Pay, and Apple Pay, are “unaffected.”
Crypto businesses have struggled to find banking partners that make it easy to send money to buy and sell digital assets. Following the FTX collapse, federal regulators warned banks about the risks of doing business with crypto companies.
Last month, Binance saying its banking partner Signature Bank would handle user transactions only if they are for more than $100,000 as the lender reduces its exposure to digital asset markets. The New York-based bank said in December that it intended to cut up to $10 billion in crypto customer deposits.
A Signature spokesman said Monday that the bank cannot comment on customer-related matters.
