In a recent development, Binance US, the American arm of the popular cryptocurrency exchange Binance, has announced that it has successfully resolved the ongoing issues related to the USD withdrawal problem. However, the platform has issued a cautionary statement, warning users that this solution may only be temporary.
Over the past few weeks, Binance.US has faced significant challenges in processing USD withdrawals, causing frustration and concern among its user base. The platform, known for its extensive range of cryptocurrencies and user-friendly interface, took immediate action to address the problem.
Binance.US Anticipates Discontinuation of USD Withdrawal Service by Banking Partners
Binance.US stated, “Although USD withdrawal is currently functioning without any issues on our platform, we anticipate that our banking partners will discontinue this service in the near future.”
In an update issued stating Binance solves the USD withdrawal problem on June 22, the independent subsidiary of Binance reassured its customers that its system is now fully operational, and requests for USD withdrawals are expected to return to their usual five-business-day turnaround time.
Binance.US Faces Suspension Concerns for Fiat Withdrawal Channels Amid SEC Battle
In response to its ongoing conflict with the Securities and Exchange Commission (SEC), the exchange temporarily halted dollar deposits on June 9 and informed its customers about an impending suspension of fiat withdrawal channels.
During that announcement, Binance.US cautioned users that its banking partners were planning to pause the fiat (USD) withdrawal channels, potentially starting from June 13. However, as of now, that anticipated pause has not yet been implemented.
In its latest announcement, Binance.US has advised customers who have experienced failed withdrawal attempts to resubmit their requests, emphasizing that their systems are currently functioning without any issues. However, the platform has also cautioned users that this improved situation may not be a lasting solution.
“While USD withdrawal remains fully operational on the platform today, we expect our banking partners to discontinue that service in the near future.”
Binance.US Guides Users Toward Stablecoins and Crypto-to-Crypto Trading during Transition
As Binance.US transitions into becoming a crypto-only exchange, it is urging its users to consider utilizing stablecoins to continue engaging in crypto-to-crypto trading, along with the options to use or withdraw their USD balances.
Binance.US provided information regarding the conversion of remaining USD balances held in customer accounts to Tether (USDT) at a future date, ensuring that each USDT will maintain a value of $1.00. Additionally, the announcement highlighted the introduction of new USDT trading pairs, including ANKR, DAI, DASH, HBAR, ICX, IOTA, RVN, WAVES, XNO, XTZ, and ZIL, which will be available for trading starting from June 26.
However, the platform announced that it would eliminate the majority of “USD Advanced Trading pairs” from its platform on the aforementioned date. Among the 150 supported crypto assets on Binance.US, only BTC, ETH, ADA, BNB, LTC, MATIC, SOL, VET, USDC, and USDT will remain available for trading against the dollar.
Moreover, Binance.US has encountered challenges with its banking partners in Australia. In May, the Australian branch of Binance experienced a significant drop in Bitcoin prices, reaching a discount of 20%. This decline was a result of local banking and payments partners suspending their services, leading to a rush to sell and cash out among users.
As Binance solves the USD withdrawal problem, it has brought temporary relief to its users. However, the platform remains cautious about the longevity of the solution, emphasizing potential future challenges. Binance.US continues to work diligently to find a more sustainable resolution and maintain a stable and reliable withdrawal process. The exchange is actively collaborating with banking partners and regulatory authorities while investing in infrastructure and customer support capabilities. As the cryptocurrency industry evolves, Binance.US strives to enhance stability, reliability, and user experience, ensuring a secure platform for cryptocurrency trading in the long run.