Binance Ceases Australian Dollar Trading amid Struggles with Banking Issues

Binance has halted all trading of the Australian Dollar today (June 1) for its users in Australia, two weeks after announcing the intention to suspend the service. The crypto exchange said on Twitter that it was still trying to find an alternative partner to resume the offering.

Binance Australia Struggles with Banking Challenges

Binance's decision to suspend AUD deposits and withdrawals through bank transfer was reportedly due to a problem with a local payments provider. The unidentified payments partner had given the exchange's users until 17:00 June 1, 2023, AEST to withdraw their funds.

"We regret to inform you that AUD deposits and withdrawals by bank transfer are no longer available to Binance's Users in Australia," Binance Australia said. "Binance has ceased all AUD trading pairs as of June 1."

Fellow Binancians,We regret to inform you that AUD deposits and withdrawals by bank transfer are no longer available to Binance users in Australia. Binance has ceased all AUD trading pairs as of June 1. In order to facilitate withdrawals and trading activities after June 1, you…

According to the exchange, the alternative available for its users in Australia to buy or sell crypto is credit and debit cards or peer-to-peer (P2P) marketplaces. Additionally, the exchange advised its users to convert their AUD holdings to stablecoin USDT to make withdrawals.

Binance Australia's Customers Sell BTC at a Discount

Meanwhile, ahead of the deadline, Binance's Australian customers put their bitcoins up for sale at a 20% discount. The cryptocurrency was traded for about $23,000 compared to $27,000 outside the continent, according to a report by Reuters.

"Due to the recent removal of fiat on-ramp services by our payment processor's banking partner, some Australian users have been withdrawing their AUD holdings from the platform in advance of the off-ramp closure on June 1," said Binance's spokesperson in an email shared with the publication.

"As a result, AUD pairs have experienced less volatility which has impacted their pricing. We will be delisting remaining AUD pairs in line with the closure of fiat off-ramp services," the source added.

As reported by Finance Magnates, Binance is facing hostility from the banking sector, not to mention the regulators. On the same day, the exchange announced the disruption of AUD service in Australia, and a local lender Westpac Bank barred its customers from transacting with the crypto exchange.

Similarly, Binance was affected by the US banking crisis triggered by the collapse of crypto-friendly banks, Signature and Silvergate. As a result, Binance.US, a US subsidiary of the exchange, was forced to use the services of an intermediary bank with a slower process compared to a direct banking partner.

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