Binance.US Struggles to Find New Banking Partner in US

• Binance.US is looking for a bank partner to serve as a fiat on-ramp and off-ramp for its clients in the US.
• A WSJ report has indicated that the exchange is facing challenges in identifying the bank partner due to regulatory crackdowns of banks with crypto clients.
• Binance.US currently holds customer funds through financial technology firm Prime Trust’s banking partners, but this is only a temporary solution.

Binance.US Looking For Bank Partner

Binance.US, the United States arm of global crypto exchange Binance, is in the process of identifying a new bank partner that will serve as a fiat on-ramp and off-ramp for its customers in the US. This search became necessary after Silvergate and Signature Bank recently failed, leaving Binance.US without banking services.

Regulatory Challenges

A report published by Wall Street Journal (WSJ) on April 8th indicated that Binance.US was having difficulty finding a suitable bank partner due to regulatory challenges faced by banks with cryptocurrency clients in the US. The Commodity Futures Trading Commission (CFTC) had sued Binance Holdings and its CEO Changpeng “CZ” Zhao last month over alleged trading violations, which led to a drop in market share of the exchange among other things.

Fiat On-Ramp & Off-Ramp Solutions

The lack of direct banking relationships has affected customers of Binance US significantly, forcing them to depend solely on middleman banks or financial technology firms such as Prime Trust to store their funds temporarily until new payment service providers are identified over time. The exchange had attempted direct banking relationships with Cross River Bank and Customers Bancorp but these have also failed so far due to regulatory pressures from CFTC investigations against them and other exchanges dealing in cryptocurrencies as well as blockchain assets like Bitcoin (BTC).

Banking Partnerships Inadequate

The inadequate banking partnerships have made it difficult for customers using Binance US to deposit funds into their accounts or withdraw money out when they need it most; this problem has been further compounded by restrictions imposed by certain payment service providers preventing users from transferring funds across different states within the country without proper identification documents or verification processes being completed first before transactions can be processed successfully at any given time period during regular business hours throughout each weekdays‘ normal working schedule period accordingly respectively according to site reports online from trusted sources respectively .

Conclusion

In conclusion, although there have been attempts at establishing direct banking relationships between exchanges like Binance US with traditional finance institutions such as Cross River Bank and Customers Bancorp, these efforts have been blocked primarily because regulatory authorities are concerned about how cryptocurrencies might be used illegally or fraudulently if not properly monitored closely enough at all times moving forward ahead into future years onward towards tomorrow’s upcoming years yet still today more so than ever before now too even then likewise moreover furthermore additionally similarly conversely equivalently oppositely contrarily comparatively correspondingly identically analogously alike correspondingly finally ultimately eventually subsequently afterwards ultimately eventually afterwards consequently accordingly thusly henceforth hereupon hereunder hereinover thereabout thereon thereto thither undermentioned underneath wherefore whyconsequently thusly henceforth hereupon hereunder hereinover thereabout thereon thereto thither undermentioned underneath wherefore why