Silvergate Bank, which serves cryptocurrency companies, has stopped providing services to the Binance marketplace. Exchange users will no longer be able to deposit and withdraw US dollars through Silvergate.
Binance has notified customers that the platform will no longer support USD deposits and withdrawals through Silvergate Bank starting June 11. USD deposits credited to the exchange’s Silvergate account after June 11, 2021 will be refunded to users’ accounts within 21 business days. However, the amount returned may be less due to the deduction of bank charges.
Binance management said it will make the necessary efforts to provide customers with an alternative solution. Renzo Morales Díaz, a Binance client from Colombia, said that due to the abrupt termination of Silvergate’s cooperation with the exchange, his funds were “stuck” for two weeks.
“My withdrawal of assets in US dollars through Silvergate is stuck. Of course, they won’t go there. Now I do not know how Binance will manage to fulfill this conclusion, ”the user complained.
It looks like the problems in Binance’s relationship with Silvergate started months ago. In late March, a Reddit user also reported that he was having difficulty making deposits to Binance through Silvergate. About two weeks ago, another Reddit user wrote that he tried to deposit $ 30,000 on the exchange through this bank, but even three weeks later, the funds were not transferred to his exchange account.
Binance began partnering with the cryptocurrency-friendly Silvergate bank since December last year. The bank did not explain the reasons for the termination of the partnership with Binance.
According to Silvergate Q3 2020 data, the bank serves about 928 blockchain and digital currency companies. During this period, the bank received $ 586 million in crypto assets.
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