Binance, one of the world’s largest cryptocurrency exchanges by trading volume, has suspended bank transfers. The move comes amid increased scrutiny from regulators around the world.
The exchange announced the suspension on its blog, saying that it had “received notice from our banks” that they were “unable to process Binance-bound wire transfers” due to “regulatory compliance issues.”
Binance said it is working with other banks to resume wire transfers, and that it is “actively exploring” other options to provide its users with “sufficient deposit and withdrawal options.”
The suspension of bank transfers is the latest in a series of regulatory hurdles for Binance. The exchange has been banned in China and Japan, and has been accused of flouting anti-money laundering rules by the U.
S. Treasury Department’s Financial Crimes Enforcement Network (FinCEN).
Binance has denied any wrongdoing, and says it is compliant with all applicable lAWS and regulations.
Despite the regulatory challenges, Binance remains one of the most popular cryptocurrency exchanges in the world. The exchange reported $200 million in profit in the first quarter of 2018, and has plans to launch a decentralized exchange later this year.
The suspension of bank transfers is likely to be a temporary setback for Binance, but it highlights the challenges faced by cryptocurrency exchanges as they strive to operate within the bounds of increasingly stringent regulation.