Binance’s current European banking partner Paysafe Payment Solutions will no longer provide EUR deposits and withdrawals via cross-border payment network[SEPA] after Sept 25, as per official announcements from both parties.
“At that time, our users will need to update the banking details used to deposit to their Binance accounts and may be required to accept new terms and conditions to continue using SEPA services after this date.”
In an email statement, Paysafe wrote, “Following a strategic review, we have taken the decision to cease offering our embedded wallet solution to Binance across the region. We are already in the process of withdrawing the service in the UK.”
Besides the SEC litigation, the largest cryptocurrency exchange in the world by trading volume has been subject to regulatory constraints including those from European and other financial counterparts.
In 2021, the UK regulator FCA sent the CZ-led firm a warning for not being a licensed crypto-service provider and the recent lawsuit has further exacerbated the situation.
Numerous British banks have withdrawn support by restricting payments to Binance.
One of them is leading fintech firm Nomo Bank which announced the suspension of customers’ payments to Binance “pursuant to other UK banks, recent adverse news reports, and regulatory concerns.”
The bank added, “This is also in line with wider UK bank practice.” Similarly, authorities in the Netherlands, Belgium, and Ireland have taken action against the crypto giant
However, this hasn’t stopped the trading platform from looking at other places such as the Middle East or Central Asia.
Binance Eyeing Crypto-Friendly Nations Amidst Regulatory Crackdown In The US and Europe
Sounding upbeat, Alex Chehade, General Manager of Binance Dubai, claimed that the region’s welcoming attitude towards digital assets and transparent crypto regulations were to blame for the influx of crypto companies looking for stability and growth.
According to Chehade, the regulatory position of the region instills a sense of security that businesses can function and make future plans without worrying about laws changing abruptly.
In another big move, Binance launched a regional digital asset platform in Kazakhstan. This strategic expansion comes after the firm secured a permanent license from the AIFC- Financial Services Authority of Kazakhstan last year.