Barclays Blocks Debit/Credit Payments to Binance
- The bank points towards a 26 June ruling made by the U.K. FCA, which states that Binance Markets Limited is no longer permitted to engage in financial activities.
- The Binance exchange has already clarified on 1 July that BML is a separate legal entity from the global exchange.
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Customers of Barclays have been reporting on Twitter that the British multinational bank has been stopping payments to the Binance cryptocurrency exchange over the last week.
A number of Binance users took to social media this week after they started receiving notifications from Barclays that debit and credit card payments made to Binance will be suspended “until further notice”. The British bank has already confirmed the move on Twitter, responding to its angry customers with messages such as:
“It’s our responsibility to help protect your money. With this in mind we’ve taken the decision to stop payments made by credit/debit card to Binance until further notice, to help keep your money safe.”
The bank is further referencing its customers to the U.K. Financial Conduct Authority (FCA) website for “further information on Binance”. Last month, the FCA made a decision that Binance Markets Limited (BML) will no longer be permitted to engage in financial services in the U.K..
The FCA notice forced Binance to clarify only days later that the above mentioned company, BML, was a completely separate entity, and that the ruling would have no effect on the exchange’s ability to conduct business with its U.K. customers. It appears that Barclay’s block on payments to Binance has been caused by inaccurate understanding of events, though the bank is yet to make an official statement regarding this development.
- The popular crypto exchange has decided to sell its business in Russia to CommEX, a crypto exchange business that was officially launched on Tuesday.
- Binance noted that it will fully exit the Russian market, and have no ongoing revenue split or any option to buy back shares in the business.
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- The company said it will be suspending its crypto-backed debit card service in the Middle East on 25 August, and in Latin America by 21 September.
- Although no reason was given for the decision, the company noted that “less than 1% of users” in those regions will be affected by the change.
- A spokesperson said the change was due to the “changing market and user needs”, and that Binance will now be refocusing its resources on its main products and long-term goals.
- Launched in March 2022, Binance Connect helped crypto businesses connect with the traditional finance system, and supported 50 cryptocurrencies and networks such as Visa and Mastercard.