Binance, the world’s largest cryptocurrency exchange, says it is suspending U.S. dollar withdrawals and deposits for international customers starting on February 8.
No reason was given for the decision to halt U.S. transactions. Binance said the move only impacts non-U.S. customers of Binance who transfer money to or from bank accounts in U.S. dollars.
Data from Arkham Intelligence showed that, following the announcement, there was a sharp spike in outflows from Binance’s crypto wallets as investors moved their money and assets to rival exchanges or individual cryptocurrency wallets.
Binance’s exchange token called “BNB” was largely unaffected by the news and continued to trade around $330 U.S.
Binance said customers can still use other fiat currencies or payment methods to purchase cryptocurrency on its exchange.
Crypto investors have remained on edge since the $8 billion U.S. collapse last fall of rival cryptocurrency exchange FTX, a development that led to contagion across the industry.
