9-6-2023 (SAN FRANCISCO) The American branch of cryptocurrency exchange Binance, has announced the suspension of U.S. dollar deposits. In addition, the company has notified its customers about an upcoming pause in fiat (USD) withdrawal channels, set to take effect as early as June 13.
The decision to suspend USD deposits comes as a response to what Binance.US describes as “extremely aggressive and intimidating tactics” from the United States Securities and Exchange Commission (SEC). The company aims to protect its customers and platform by implementing these measures.
While Binance.US plans to transition to a crypto-only exchange, it assures customers that their assets will be maintained at a 1:1 ratio. The notice also warns that any delays in processing withdrawals may occur due to increased volumes and weekend bank closures.
Despite the suspension of USD deposits, trading, staking, deposits, and withdrawals in cryptocurrencies will remain fully operational, according to Binance.US.
The SEC’s ongoing actions against the American digital asset industry have presented challenges for Binance.US and its banking partners. These partners have indicated their intent to sever fiat on-ramps to the exchange, leading to the decision to suspend USD trading pairs, with delisting scheduled for next week. However, the company will continue to support USDT (Tether) trading pairs. Any remaining USD on the platform may be converted into a stablecoin for withdrawal.
On June 8, Binance.US delisted ten trading pairs, consisting of eight BTC pairs and two BUSD pairs. Additionally, the OTC Trading Portal services were temporarily paused. Notably, Binance.US experienced BTC trading at a premium on its platform in early May.
Following an emergency order issued by the SEC on June 6 to freeze Binance.US’s assets, the company reassured its customers that their assets remained safe. Binance.US emphasized that its platform continues to be fully operational, with deposits and withdrawals functioning normally.
