Binance.US has announced that it will suspend the deposit of the US Dollar, and its banking partners will halt the withdrawal of fiat currency from the platform. This is tentatively expected to go into effect on June 13, 2023. Users of Binance.US are recommended to take appropriate actions before the deadline.
The objective of this move, per the announcement, is not just to protect the platform but also to protect the entire customer base. They have been the priority of the crypto venture every time and continue to be protected. Binance.US is transitioning to become a crypto-only exchange. Any possible downtime while processing requests for withdrawal could be due to large request volumes.
All of it started when the SEC filed charges against Binance.US for offering unregistered products and services. The venture has called the move extremely aggressive & intimidating tactics, adding that the US Securities & Exchange Commission is pursuing an ideological campaign against the entire digital asset industry of the United States of America.
The SEC has also stated its objectives are to protect the investors and their funds. Therefore, such steps are more than necessary.
When ventures fail to register themselves or their products-services, then investors are automatically put under a risky umbrella. There is no jurisdiction for inspection or accountability. Thereby, the risk extends to customers who end up on the losing end.
Binance.US has mentioned in the announcement that it has to suspend deposit functionality for better protection. Withdrawals have been halted as the SEC’s move has affected the banking mechanism as well. Binance.US has assured that the reserves are maintained 1:1 for all customers.
Functions that will remain operational at Binance.US are staking, trading, withdrawal, and deposits.
The SEC continues to strengthen its move against Binance.US. The crypto venture, on the other hand, has extended the commitment to engaging in a productive compromise while vigorously defending itself against the meritless attack.
Additionally, Binance.US has announced to delist the USD pair, which is BTC/USD, on the platform. It will support the trading pair with the stablecoin, USDT. Meaning BTC/USD will be delisted, and support will go on for BTC/USDT. USD balance on the platform after June 15, 2023, will have the option to be converted into a stable and execute on-chain withdrawal.
The status of Binance.US as a crypto-only exchange will be in practice till the time the platform does not find stable banking partners.
Founded in 2017, Binance is a crypto venture that is engaged in the offering of crypto purchase and selling services. It is run by the native token BNB which is currently trading at $259.61, down by 0.91% in the last 24 hours. It has over a hundred cryptocurrencies listed on the platform. More details about Binance can be read in our Binance Exchange review. It also sheds light on the key features of the platform.
The customer base of Binance.US is recommended to take appropriate action by June 13, 2023. Effective that date, Binance.US will suspend USD deposits and halt fiat withdrawals.