Binance Australia Suspends Bank Transfers After Provider Backs Out
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Binance Australia Suspends Bank Transfers After Provider Backs Out

Customers can still buy and trade crypto using their crypto and debit cards, or the P2P platform.
Neither the author, Tim Fries, nor this website, The Tokenist, provide financial advice. Please consult our website policy prior to making financial decisions.

On Thursday, Binance Australia announced on Twitter that it had temporarily suspended Australian dollar (AUD) deposits and withdrawals in the wake of a decision by its third-party service provider. The exchange is looking for another service provider to restart AUD services.

Third-party Service Provider Ends Partnership with Binance

Binance announced on Thursday it had halted Australian dollar services in the country after a local payment provider ceased to provide service to the exchange. The move will also affect bank transfer withdrawals, Binance Australia said in a tweet.

“We regret to inform you that with immediate effect we are unable to facilitate PayID AUD deposits for Binance users due to a decision made by our third-party payment service provider. “

– Binance Australia said in a tweet.

The world’s biggest crypto exchange said it is working to find another payment service provider to let the company continue providing AUD deposits and withdrawals to its users in Australia. Until then, local users can still trade cryptocurrencies with crypto and debit cards or through its P2P marketplace. Additionally, Binance reassured users that their funds remain safe in the company’s SAFU insurance fund.

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A Difficult Few Months for the World’s Biggest Crypto Exchange

The move marks another significant blow for Binance Australia this year, which saw its derivatives license get canceled by the country’s corporate regulator in April. The Australian Securities and Investments Commission (ASIC) revoked the crypto exchange’s license after conducting a targeted review of its classification of retail and wholesale clients.

ASIC ordered Binance to close all open positions on its derivatives marketplace by April 21. Following that decision, Binance issued a separate statement, saying it would wind down its derivatives operations in Australia to seek “a more focused approach.”

However, it is not only Australia that has been giving Binance headaches. The crypto exchange and numerous other crypto companies have been at the center of the recent regulatory crackdown in North America.

Earlier this month, the Tokenist reported that Binance is being investigated for alleged violations of sanctions imposed on Russia over its invasion of Ukraine in 2022. While the company is yet to be accused of wrongdoing, Russian outlets reported last month that Binance had removed some restrictions imposed on its customers in Russia, conflicting with the US government’s instructions. More recently, Binance announced its decision to exit Canada due to recent regulatory changes.

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Do you think Binance could lose its dominance if challenges like this persist? Let us know in the comments below.