Due to a procedural issue, Binance, a cryptocurrency exchange, has announced that it will temporarily stop accepting USD deposits and withdrawals on February 8.
According to a spokeswoman for Binance, only 0.01% of monthly active users would be impacted by the suspension, and affected customers would receive individual notifications.
Although the information seems to be consistent, cryptocurrency users have expressed concern because many powerful and prosperous crypto enterprises recently experienced an unanticipated crash.
“We are temporarily suspending USD bank transfers as of February 8th. Affected customers are being notified directly. All other methods of buying and selling crypto remain unaffected, including bank transfers using one of the other fiat currencies supported by Binance (including Euros), buying and selling crypto via credit card, debit card, Google Pay, Apple Pay, and via our Binance P2P marketplace” Binance spokesman said.
Also, the spokesman for Binance confirmed that “all other methods of buying and selling crypto remain unaffected,” including bank transfers using one of the other fiat currencies offered by Binance.
The abrupt suspension of USD withdrawal and deposit by Binance is not the cryptocurrency company’s first such action. Late last year, a similar incident took place.
Following the collapse of FTX, the exchange announced the suspension of UDSC stablecoin withdrawals on December 12.
Users expressed concern over this, believing that the biggest cryptocurrency company would suffer the same fate as FTX.
However, CEO Changpeng Zhao added in a tweet that, as the exchange witnessed an increase in USDC withdrawals, the exchange opted to suspend withdrawals because the banks that might honor them were closed.
Zhao’s answer calmed the users’ fears and suspicions.
Users are urged to remain calm and assured that nothing disastrous or terrible will happen to their funds as a result of this latest upgrade.
Users should expect a more detailed explanation of the administrative issue from the Binance team.
There is no reason to be concerned because the company has proven to be among the best and most trustworthy cryptocurrency companies.
No wrongdoing or irregularities have ever been reported at the cryptocurrency exchange. Users can be confident that nothing suspicious is happening.
The launch of Binance Tax, a service that will attract a lot of users to the platform and make taxation simple to track and compute, was announced by Binance on Monday.