Binance suspends deposits with bank transfers in Europe “temporarily”

Key facts:
  • The exchange is trying to adapt to regulatory measures in different countries.

  • As a compensation, Binance bonuses deposits with cards in euros and Russian rubles.

Cryptocurrency exchange Binance has “temporarily” suspended euro deposits via the SEPA (Single Euro Payments Area) network. The reason for the decision is based on events that “exceed” the exchange, they informed their customers. Withdrawals by this means are still enabled.

As an alternative to this option that is no longer available, you can buy cryptocurrencies and perform other types of operations on the platform by paying with credit or debit cards. In fact, even Binance has published a bonus on commissions when depositing euros and rubles using this methodprobably to compensate for the cancellation of the banking option.

Binance no longer allows depositing with bank transfers, but it rewards card transactions. Source: Twitter.

Binance reported on the suspension of these deposits through an email to its customers, which released Financial Times and then published by the Reuters news agency. In the message, it is detailed that “any deposit through SEPA will be returned within 7 business days”, while noting that withdrawals through this means continue to work normally.

In this way, new difficulty for Binance operations in Europe, which are in addition to many others reported by Crypto News in the recent past. The latest development had occurred on Monday, July 5, 2021, when the British bank Barclays banned its users from using their debit or credit cards on the exchange to “take care of your money”.

Binance users, spied on in China?

In addition to this increasing pressure from regulatory bodies, Binance has come across other facts that will surely worry its managers as much as its users. According to Chinese journalist Colin Wu, some users of the platform in Sichuan (China) received calls from the police just by logging into your Binance accounts.

According to what the communicator says in your Twitter profile Wu Blockchain, the so-called was only meant to inform about the risks of these platforms. In addition, the authorities would have warned these investors that they would not accept their claims in cases of suffering losses of money from their cryptocurrency activities.

A stroke of rudder before the storm

In the midst of so many untimely waves, Binance announced on Wednesday, July 7th that hired a new director of Legal Compliance. This is Jonathan Farnell, who previously held the same position at the eToro exchange in the UK.

According to the official publication in which it is presented, Farnell has deep knowledge of financial services and about the regulation of electronic money and cryptocurrencies. “I will focus on helping Binance develop disruptive products and achieve greater compliance with regulations in Europe,” said the expert.

For his part, the CEO of the exchange, Changpeng Zhao, published on Tuesday, July 6, an open letter in which he intends to” share the historical experience and principles “of the company before”the recent hyper-focus on the regulation of Binance”.

In the brief, CZ highlights the eagerness to defend the interests of users, “something we share with regulators” and explains that clear regulations are “important and necessary” for greater adoption of cryptocurrencies.

To this end, it lists in the letter the actions Binance plans to take to advance compliance with each country’s laws. These measures include expanding the international legal compliance team, expanding “already robust” legal compliance partnerships with specialized companies such as CipherTrace, and localizing their activities to national standards.

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