Binance Advises Euro Users to Swap to USDT Following Paysafe Debanking

Cryptocurrency exchange Binance has issued a notice urging its users in Europe to convert their euro holdings into Tether (USDT) before October concludes. The decision comes as a response to the termination of support from its banking partner, Paysafe.

On September 28th, Binance communicated to its European users who utilize Paysafe that they should convert their EUR balances on the platform into USDT before October 31st. This action was deemed necessary as Paysafe had unilaterally decided to cease processing EUR deposits for Binance users.

Importantly, Binance clarified that users will still be able to withdraw their EUR balances from their Binance accounts to their respective bank accounts. However, the platform advised Paysafe users to act promptly to avoid any disruptions.

Paysafe’s decision also means that, starting from September 28th at 4:00 AM UTC, users will no longer be able to engage in EUR spot trading on Binance, and all open orders in EUR trading pairs will be canceled one hour after the suspension takes effect. Furthermore, Binance Convert, a service akin to token swapping, will also have restrictions in place for EUR transactions.

Paysafe had already suspended euro deposits on September 25th. Previously, the company had played a vital role in facilitating fiat deposits and withdrawals for Binance users in Europe, including the use of bank transfers within the Single Euro Payments Area (SEPA).

In response to this development, Binance stated, “We are working to integrate new fiat channels onto Binance soon,” suggesting that alternative solutions for fiat currency transactions are being explored.

This move follows a previous report from September 27th, where it was revealed that Binance France recommended its customers convert their fiat holdings into cryptocurrencies without delay.

This development represents the latest chapter in a series of regulatory and debanking challenges faced by Binance in Western markets. Paysafe had earlier ceased support for transactions in British pounds in May, citing concerns raised by financial regulators in the United Kingdom regarding the partnership.

In a related development, Binance had announced its departure from the Netherlands in June, and within a week, officials in Belgium ordered the exchange to cease its services. However, on September 26th, it was disclosed that new registrations from Belgian residents had once again been reopened, indicating a potential path forward for Binance in the region.

For more news, find me on Twitter or subscribe to my YouTube channel.

What is your opinion on this issue? Leave me your comment below! I’m always interested in your opinion!

Leave a Reply

Your email address will not be published. Required fields are marked *

Recommended for you