Binance.US has announced the suspension of United States dollar deposits and has notified its customers of an incoming pause to fiat (U.S. dollar) withdrawal channels as early as June 13.
On June 9, Binance.US announced that it was forced to take action amid “extremely aggressive and intimidating tactics” from the United States Securities and Exchange Commission.
The firm noted that, in an effort to protect its customers and platform, it is suspending dollar deposits. Furthermore, Binance.US is “notifying customers that our banking partners are preparing to pause fiat (USD) withdrawal channels as early as June 13, 2023.”
The company added that it plans to transition to a crypto-only exchange but maintains a 1:1 ratio for customer assets.
The notice also cautioned that any downtime in processing withdrawals going forward “may be the result of elevated volumes and weekend bank closures.”
Trading, staking, deposits and withdrawals in crypto remain fully operational, it confirmed.
As a result of the SEC’s “ideological campaign against the American digital asset industry,” Binance.US and its banking partners have faced increasing challenges, it said. Those banking partners have signaled their intent to sever fiat on-ramps to the exchange.
U.S. dollar deposits will be suspended as of June 9, and USD trading pairs will be delisted next week, the firm stated; however, it will continue to support Tether (USDT) trading pairs. It stated that any dollars left on the exchange might be converted into a stablecoin that can be withdrawn on-chain.
The SEC issued an emergency order on June 6 to freeze the assets of Binance.US. The following day, the firm reassured customers that assets remained safe adding that the platform continues to be fully operational with deposits and withdrawals functioning as normal.
Cointelegraph reported on the struggles Binance.US was having securing banking partners in April.