Binance, one of the world’s largest cryptocurrency exchanges, is facing banking troubles in the US. The exchange has been unable to find a banking partner to work with in the US, causing disruptions for its US customers. This is a major issue for Binance, as the lack of banking partners is preventing the exchange from effectively serving its customers in the US. Customers have reported issues with withdrawing fiat currency from the exchange, and Binance.US has had to discontinue wire, Apple Pay, and Google Pay deposits.
This banking problem comes at a time when Binance is already facing a potentially fatal lawsuit with the CFTC. The regulatory troubles have caused major disruptions to the exchange’s business in the US. According to reports, at least two banks, Customers Bancorp Inc. and Cross River Bank, have refused to do business with Binance.US due to regulatory concerns.
Binance’s previous US banking partners, Signature Bank and Silvergate, have also failed earlier this year. The exchange is now relying on several crypto-services and a fintech company, Prime Trust LLC, to store user funds. However, this is not a long-term solution and has already caused service disruptions. Binance needs to find a US banking partner soon to continue providing its services to US customers.
