Binance Suspends Deposits and Withdrawals for Australian Users Due to Payment Disruption
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Binance Australia announced on May 18 that it could not process PayID AUD deposits for its users anymore. This is because a third-party payment service provider “Westpac” has decided to stop supporting the cryptocurrency exchange. They’re searching for a new option. But users can still buy and sell cryptocurrencies using credit or debit cards.
#Binance Halts Deposits and Possibly Withdrawals for Aussie Users After Being Cut Off by Australian Payment Service Provider L_EARN https://t.co/Cu2osAmpBh Assets Vault https://t.co/Wgky3Mh7FX pic.twitter.com/LxWHG4zQLE
— NMAssets (@NMAssets) May 19, 2023
Scott Collary, an executive at the payment provider, mentioned that scammers are using foreign exchanges more often.
Binance Australia Temporarily Halts Australian Dollar Services
Binance Australia, a cryptocurrency exchange, announced on May 18 that it had temporarily stopped offering services involving the Australian dollar. This decision came after its payment service provider, Westpac, suddenly stopped supporting the platform.
Crypto giant Binance booted off the PayID system and banned by Westpac in Australia#Australia #binance #payments #bank #web3 #blockchain #BinanceSmartChain #binanceau #fiatcurrency #debitcard #creditcard #crypto #cryptocurrency @binance pic.twitter.com/kU24HGZsXN
— Divyanshu Shukla (@supdivyanshu) May 19, 2023
As a result, Binance Australia cannot process PayID AUD deposits for its users anymore. In addition, the exchange also warned that the provider’s action might affect withdrawals through bank transfers.
In a tweet on May 18, Binance Australia didn’t provide any details about why the service was suspended or when it might be reinstated. Instead, they mentioned that they are searching for an alternative solution.
Binance Australia Loses Crypto Ramp PayID ‘With Immediate Effect’
Binance Australia has had to suspend PayID AUD deposits due to a decision by a third-party service provider.#Business
Read morehttps://t.co/sQHq6EzN49 pic.twitter.com/rp3xnNudRw
— Mars Signals (@MarsSignals) May 19, 2023
The tweet also suggested that users can use Binance Australia’s peer-to-peer marketplace as an alternative during this time.
“We are working hard to find an alternative provider to continue offering AUD deposits and withdrawals to our users. Notably, you can still buy and sell crypto using credit or debit cards and our Binance P2P marketplace will also continue to operate as usual. Rest assured that your funds are safe through the Secure Asset Fund for Users (SAFU), an insurance fund that offers protection to Binance users and their funds in the event of extreme situations,” the crypto exchange said in a tweet.
Westpac Bans Cryptocurrency Exchanges as a Measure Against Scams
According to local media reports, Westpac, a bank, has cut off several cryptocurrency exchanges, including Binance Australia. This action was taken the same day Westpac announced measures to protect against scams.
Scott Collary, an executive at Westpac, stated that the decision to ban crypto exchanges was made to address potential risks associated with scams.
Westpac’s Ban and ASIC License Cancellation Impact Binance Australia.
Scott Collary, an executive at Westpac, stated that customers realize they have been scammed after their funds have left the country, making it challenging to recover the stolen money. An unidentified spokesperson from Australian Payments Plus confirmed the decision but denied any involvement in the situation.
🚨BREAKING: Binance-Australia's Derivatives License CANCELLED, ASIC Announced Thursday pic.twitter.com/39TzvQsPtl
— HeadlineHunter!🚨GLOBAL (@HHunter_Global) April 6, 2023
Westpac’s ban on Binance Australia is the most recent setback for the cryptocurrency exchange in Australia. Earlier in April, the Australian Securities and Investments Commission (ASIC) canceled the license of Binance Australia’s local entity, Oztures Trading.
The ASIC had been conducting a review of Binance Australia’s financial services business in the country. This news was reported by the Sydney Morning Herald.