Binance customers can no longer fill their accounts with euros via SEPA with immediate effect. It remains to be seen whether the move is really only as “short-term” as claimed.
Nyet Euro! This policy now applies to Binance. As the world’s largest Bitcoin exchange – measured by market capitalization – announced via email on July 7th, Binance will no longer accept euro deposits via SEPA with immediate effect.
Due to events beyond our control, we are temporarily suspending EUR deposits via SEPA transfer starting July 7, 2021, 8 a.m. UTC. […] Deposits attempted via SEPA will be refunded within 7 working days in the meantime.
, it says in the message to the customers. If you still find yourself in the embarrassment of filling the account with SEPA Euro, according to the company, you can expect “a refund within the next seven days”.
Binance leaves open the reasons for the step. There was also no reaction to our request. It is obvious, however, that regulatory pressure led to the decision. Finally, the major British bank Barclays announced that it was looking at the regulatory status of Binance with concern. As a result, Barclays blocked all payments to the company’s accounts so that customers could no longer fund their accounts with fiat money.
Binance is speaking of a “temporary” suspension of the SEPA funding. However, the company does not specify the time frame. The fact that euro deposits are currently being cut is a major blow for both the company and its customers. After all, Europe is one of the core regions of the company, which is based in Malta, among others.
But not all Europeans have to throw in the towel inevitably. Those who have a credit card can still fund their accounts with euros.
Binance CEO is aimed at users
Coincidence or not: But just one day before the suspension of SEPA payments, CEO Changpeng Zhao (also known as CZ in crypto vernacular) is aiming at one open letter to the users. In it, the director of the world’s largest crypto exchange describes the rapid development of the crypto sector over the past few years – and also talks about regulation.
We see wider acceptance of cryptocurrencies around the world and the need for clearer regulatory frameworks in different countries. More regulation is a positive sign that an industry is maturing because it creates the foundation for a wider population to feel safe investing in cryptocurrencies.
Changpeng Zhao
The compliance team has also “grown by 500 percent since last year”, commented CZ on its willingness to comply with the increasingly specific regulations.
That should also be necessary. Because not only in Europe is it getting tight for the stock exchange. Authorities in Thailand, Japan, Singapore and Canada are tightening the curbs on the exchange. In Ontario (Canada), for example, trading has been suspended since June 26th because the responsible tax authority, OSC, is unable to identify sufficient licensing of the business model.