All the cryptocurrency exchanges were required to spruce up their game as the market was soaring. Binance, the world’s largest cryptocurrency exchange, during this time decided to put a hold on one specific cryptocurrency.
Ethereum [ETH] with its price change had slithered under the crypto spotlight. Surging by over 10% over the last seven days, the price of ETH had hit an all-time high of $2,034.40. During press time, ETH was trading for $2,000 with a 4% surge in the last 24-hours.
Amidst this price rise of the altcoin, the crypto exchange decided to put a halt on withdrawals of ETH.
Binance Momentarily Pulled The Plug On ETH Withdrawals Citing Congestion Issues
Binance took to Twitter to reveal that it would be stopping the withdrawals for Ether as well as any ERC-20 tokens. While assuring that the funds of the exchange’s users were “SAFU”, the exchange apologized for the inconvenience it had caused. The tweet further read,
This certainly spiked tension in the community. Responding to the same, the crypto exchange once again shared a tweet elaborating on the reason behind its latest move. The exchange wrote,
“Following peak traffic and transaction volumes, we have upgraded and optimized our ERC20 wallet to help with wallet congestion issues.
Binance is committed to providing reliable service to our users. With the upgrade, we anticipate higher volumes and less ETH withdrawal issues.”
Several in the community responded to this tweet by suggesting that ETH had previously experienced congestion that was even worse than the current one. Ethereum has been time and again called out for its high gas prices. However, this time, its gas price was comparatively lower than it was at the beginning of the month.
While all this led to an array of people questioning Binance’s move, the exchange restored withdrawals for ETH.
The last couple of days have been great for the Binance Smart Chain as well as the Binance coin [BNB]. Consequently, BSC emerged as an Ethereum killer, BNB towered up as the third-largest cryptocurrency.