Binance Suspends USD Transactions Outside the United States - Users Withdraw $172M in One Day

Clients of the Binance cryptocurrency exchange will no longer be able to make transfers in US dollars. This concerns

only for users outside the US.

What is known

The largest cryptocurrency exchange in the world has announcedthat from February 8, 2023, all deposits / withdrawals in US dollars will be suspended. The American division of Binance US reported that no changes are expected in the work.

@BinanceUS and @Binance are separate entities. https://t.co/gM6e3xb9BX is a licensed and regulated digital asset marketplace in the United States.

— Binance.US Customer Support (@BinanceUShelp) February 6, 2023

Binance does not specify the reasons for this decision, butpromises to do everything possible to resume service as soon as possible. The company sends notifications to all its customers who will be affected by the innovation.

After that, users began to massively displayfunds from wallets and sell digital currency, the rate of which is pegged to the US dollar. In particular, USDC and Tether. According to DefiLlama, $172 million in cryptocurrency was withdrawn per day.