Binance, a major cryptocurrency exchange, is reportedly facing fiat withdrawal problems in Europe, particularly concerned transactions in the Single Euro Payments Area (SEPA). On August 20, Binance customer support posted a now-deleted message on Twitter, revealing that the exchange had temporarily suspended euro withdrawals and deposits through SEPA.
In the message, Binance explained that there was no set timeframe for when SEPA transfers would resume, citing that its payment provider could no longer facilitate these transactions. The exchange expressed understanding for the inconvenience faced by users and assured that they were actively working to resolve the issue promptly.
This announcement came in response to a European Binance user who claimed to have recently purchased a significant amount of euros on the platform. The user expressed frustration, as they were unable to withdraw or sell the euros due to Paysafe, their payment provider, discontinuing support for Binance. This situation left users feeling trapped with their funds inaccessible.
Several months ago, Binance had notified its users that its current euro banking partner, Paysafe Payment Solutions, would no longer support the exchange. At that time, Binance advised users to update their bank details for deposits and to accept new terms and conditions to continue using SEPA services.
Binance stated that the customer support message on Twitter was sent in error, clarifying that SEPA deposits and withdrawals would continue until the originally communicated date of September 25th. However, as this date approaches, some users may be asked to provide additional information for routine compliance checks, which could lead to account closures. Binance assured users that alternative solutions would be provided before the SEPA service ends.
These recent issues with fiat withdrawals in Europe are not the first for Binance. In May, the exchange temporarily suspended Bitcoin trading and withdrawals due to a backlog of pending withdrawal requests. Additionally, Binance faced its first withdrawal outage earlier that year, attributed to a Congested Bitcoin mempool, which resulted in over 400,000 stuck transactions on the blockchain.
