Binance US Halts USD Deposits issues a fiat withdrawal warning? SEC vs Exchanges

Ojima-ojo

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Quote from: Nwada001 on June 12, 2023, 09:30:22 AM

This is just a preparation for what's to come, and this precaution is a nice move in order not to take its US customers by surprise. Stopping direct deposit is a good thing to do; they are playing safe and at the same time trying to save their bank partners some trouble.

The government have every right to get binance sunsidaries located within their jurisdiction registered and taxed adequately and this is what it is no matter what the exchange just have to comply, i guess this is not a big deal for them and their legal team should be able to handle this and get the exchange a certificate unless for places where their services are totally banned and restricted labeled illegal.

Stopping direct bank deposits is the best form of protection there can offer their clients within the US because the bank or government may take some actions against the exchange and depositors' money may get frozen in the process.

Nwada001

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This is just a preparation for what's to come, and this precaution is a nice move in order not to take its US customers by surprise. Stopping direct deposit is a good thing to do; they are playing safe and at the same time trying to save their bank partners some trouble.

This also happens when restrictions are given to crypto firms associating with banking sectors in the country. Direct deposit and withdrawal are always the first things to be suspended, then a temporary or permanent solution will be created depending on the increase in demand from the restricted areas. P2P can go a long way. Aside from direct deposit, P2P is still working and can be used as a means of buying and withdrawing for those who still care about using the centralized exchange.

nelson4lov

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Quote from: royalfestus on June 11, 2023, 03:45:16 PM

There has been limited media coverage on binanseUS, portraying the entire organization as being affected. The exchange has faced severe FUD, leading to a massive withdrawal of over $100 million in a single day and the delisting of numerous coins. Despite these challenges, the exchange has continuously refuted numerous rumors aimed at undermining its operations.

It's clear that it isn't just an attack against Binance alone but somehow it spans all of crypto even though they didn't explicitly name ETH and Bitcoin on the list of securities. In my opinion, all of these are just cascading effects of the FTX collapse last year as well as other collapses that has happened in recent times. My opinion is that, when it eventually cools down, most if not all of the Exchanges will move away from serving US customers. Nothing like opening a US subsidiary as it seems that is no longer enough.

Zaguru12

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Quote from: Ojima-ojo on June 11, 2023, 04:09:48 AM

When i read the news of binance now accepting direct bank deposits one thing that came into my mind was that, binance is about to become more centralized and controlled by government because direct fiat deposit is only posible when binance have given up some form of control to the fiat financial system and their have to give up some right to the government or the regulators to control it activities.

I have expected this form of attack since the introduction of that feature and this time were binance and the sec i have a legal battle it becomes clear and certain that that service will be halted

Hmmm this might be one of the major reasons why the US SEC is strict on getting them to register so that they could be under the government regulations. Almost thing is actually happening to Binance subsidiary in Nigeria because just a day after they announced the pair trading of bitcoin with the Nigerian Naira the next day the country’s SEC immediately announced that the exchange is yet to register and as such is illegal and all transactions with them is at the users risk. I just feel too that the exchange just doesn’t want to be controlled by the government but that can’t be possible if they are looking at direct bank transfers at least the government would like to have it registered and probably taxed them

Quote from: Cheema02 on June 11, 2023, 12:34:04 AM

This news is horrible for the crypto atmosphere.

Nothing to worry about I don’t think it will have any impact to the crypto space since there are many exchanges currently operating and this is not even happening to the global exchange. The impact it would have had was if something like an attack was attempt or done on the exchange and it lead to hackers stealing funds from it

darkangel11

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Quote from: mk4 on June 11, 2023, 01:43:01 AM

Nothing new — it's just the the typical US SEC trying to move Bitcoin and cryptocurrency development and adoption offshore to other countries. Will probably be one of the worst decisions and fumbles of the US government in this decade.

I don't think they're targetting bitcoin. It's rather Gensler trying to show himself as a person who had nothing to do with FTX collapse.
If we're to be completely honest, some exchanges were issuing their own tokens that were actually securities. I'm not even going into a debacle about altcoins being securities, but exchange tokens are.
If they were fine with issuing these without licenses they were also expecting to be tergeted by the SEc, but they thought that due to the fact that there's no crypto regulation in the US, they'll be able to fight it.

jossiel

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Quote from: Cheema02 on June 11, 2023, 12:34:04 AM

This news is horrible for the crypto atmosphere.

Not really.

You'll just get used to it.

The SEC will chase the BinanceUS and has done actions and if you're not from that location, why worry about such? Being worried about the market? Not gonna change a thing or two even if you're too concerned about it.

What will make another panic if they'll make another FUD that crypto is ban in the US but again, you'll get used to it.

royalfestus

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There has been limited media coverage on binanseUS, portraying the entire organization as being affected. The exchange has faced severe FUD, leading to a massive withdrawal of over $100 million in a single day and the delisting of numerous coins. Despite these challenges, the exchange has continuously refuted numerous rumors aimed at undermining its operations.

BitDane

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Lucky, I am not affected by this case. It is maybe a blessing of not living in the US, and not experience ego tripping SEC to show how powerful they are in order to control exchanges within their jurisdiction. If the SEC continue this pursuit against exchanges, they will be missing out and these exchanges will thrive elsewhere. Many countries are friendly with cryptocurrency so there will be an alternative options for these exchanges to continue their services.

Quote from: KiaKia on June 11, 2023, 02:57:39 AM

I read somewhere yesterday that China is welcoming all crypto exchanges to its country for a peace operation, US don't know what they are throwing out of the window right now, crypto isn't the reason why the USD is losing face, they are trying to make it look like that, but I suspect that many US citizens are moving their money off bank accounts into crypto investment and the government doesn't like this.

Isn't Cryptocurrency still banned in China? Probably you are talking about Hongkong?

JazzyJester

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Quote from: KiaKia on June 11, 2023, 02:57:39 AM

I read somewhere yesterday that China is welcoming all crypto exchanges to its country for a peace operation, US don't know what they are throwing out of the window right now, crypto isn't the reason why the USD is losing face, they are trying to make it look like that, but I suspect that many US citizens are moving their money off bank accounts into crypto investment and the government doesn't like this.

As far as I know, China has been banning cryptocurrency for years and companies are forbidden to register for licenses even if they will provide their services to people who do not live in China.

There are other countries that accept cryptocurrency companies, such as the UAE, which facilitate obtaining licenses and erection on their territory.

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Quote from: Ultegra134 on June 11, 2023, 05:39:52 AM

Quote from: KiaKia on June 11, 2023, 02:57:39 AM

I read somewhere yesterday that China is welcoming all crypto exchanges to its country for a peace operation, US don't know what they are throwing out of the window right now, crypto isn't the reason why the USD is losing face, they are trying to make it look like that, but I suspect that many US citizens are moving their money off bank accounts into crypto investment and the government doesn't like this.

It's better if Binance leave the US for good, but I think it was not easy for CZ to run the Binance US in the first place, and he believes that the US citizens are playing a major part in the adoption of crypto, that's why he didn't want the US out of the book, this is my own thoughts, nothing confidential.

Is there a valid source for your statement? Wasn't it China that was aiming to prohibit all mining operations? Now that they're inviting exchanges to settle down in their country, it's kind of contradictory because China was often found to be against cryptocurrencies. Anyway, in my opinion, the SEC won't stop pursuing Binance.us, at least until a solution that benefits the SEC is found. Thus, Binance.us might be better off leaving the US market for good. The market will severely suffer, but the effects will only last for a short time.

Moreover, can someone explain the difference between Binance.us and Binance.com? Why is there a need for USA users to differentiate from regular Binance.com? Is it due to any regulations?

Seem no difference to me but binance.com may likely block you from using their services if you are a US citizen. For users in US are meant to use binance.us thats the difference.

Prices still plummets though. Traders are also riding the dumps so they could buy more coins after.

Ultegra134

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Quote from: KiaKia on June 11, 2023, 02:57:39 AM

I read somewhere yesterday that China is welcoming all crypto exchanges to its country for a peace operation, US don't know what they are throwing out of the window right now, crypto isn't the reason why the USD is losing face, they are trying to make it look like that, but I suspect that many US citizens are moving their money off bank accounts into crypto investment and the government doesn't like this.

It's better if Binance leave the US for good, but I think it was not easy for CZ to run the Binance US in the first place, and he believes that the US citizens are playing a major part in the adoption of crypto, that's why he didn't want the US out of the book, this is my own thoughts, nothing confidential.

Is there a valid source for your statement? Wasn't it China that was aiming to prohibit all mining operations? Now that they're inviting exchanges to settle down in their country, it's kind of contradictory because China was often found to be against cryptocurrencies. Anyway, in my opinion, the SEC won't stop pursuing Binance.us, at least until a solution that benefits the SEC is found. Thus, Binance.us might be better off leaving the US market for good. The market will severely suffer, but the effects will only last for a short time.

Moreover, can someone explain the difference between Binance.us and Binance.com? Why is there a need for USA users to differentiate from regular Binance.com? Is it due to any regulations?

flyingcarpet

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Quote from: SamReomo on June 11, 2023, 01:56:07 AM

I'm pretty sure that Sec and other governmental organizations are totally against Binance and they are trying their best to shut it down by blaming it for the crime that has not yet been proven. They are basically doing this because the exchange has grown to a huge giant within few years and they don't want it to grow further.

If Binance continues growing like this then that day isn't far when CZ will be the richest person living on the Earth. That thing could be a huge treat to current economic system that is controlled by banks and governments. The governments can't accept the world's richest person to be someone who has reached the level of richness from crypto-currencies because that could be a harmful thing for the fiat system. And, many of the current fiat investors will try to move from it to crypto-currencies and that will certainly cause huge damage to stock exchanges.

They don't want anyone and anything to grow up but themselves. I'm not saying Binance is right or wrong, but is everything others do right? Banks may suspend or sever their connection with Binance, but the situation can change at any time. When crypto rises again, banks and governments will step back from their actions to get a share of it. Binance today is another exchange tomorrow, but the result will always be the same. Bitcoin's rise is unstoppable.

Jating

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Quote from: KiaKia on June 11, 2023, 02:57:39 AM

I read somewhere yesterday that China is welcoming all crypto exchanges to its country for a peace operation, US don't know what they are throwing out of the window right now, crypto isn't the reason why the USD is losing face, they are trying to make it look like that, but I suspect that many US citizens are moving their money off bank accounts into crypto investment and the government doesn't like this.

It's better if Binance leave the US for good, but I think it was not easy for CZ to run the Binance US in the first place, and he believes that the US citizens are playing a major part in the adoption of crypto, that's why he didn't want the US out of the book, this is my own thoughts, nothing confidential.

Care to share the links though?

As far as I know they too have their crack down way back in 2018, that's why Binance has move out somewhere else. So I will take this with a pitch of salt though, I doubt that China will suddenly make a U-turn and welcome crypto exchanges, specially Chinese based like Binance.

In any case this is expected from SEC though, this might be a on-going battle for Binance and most likely they already have Plan B for this ready to execute just in case SEC attack them.

Hamza2424

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Quote from: mk4 on June 11, 2023, 01:43:01 AM

Nothing new — it's just the typical US SEC trying to move Bitcoin and cryptocurrency development and adoption offshore to other countries. Will probably be one of the worst decisions and fumbles of the US government in this decade.

SEC is misusing its powers and I have mentioned it many times in my posts, Actually, this law is outdated to declare any Bussnies as security or Community. As far as I know, SEC uses "SEC v. W.J. Howey Co., 328 U.S. 293 (1946)" against crypto projects and their criteria is based on according to this;

⚫ Investment of Money
⚫ Common Enterprise
⚫ Expectation of Profits
⚫ Efforts of Others

Well anyway, Bitcoins Cherectertics are not fit into these parameters, Seems like Satoshi Knew about this law haha that is the reason he made specialized bitcoin in its attributes. A long fight for the Altcoins and other projects.

Stay Safe with BTC -Hamza

Ojima-ojo

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When i read the news of binance now accepting direct bank deposits one thing that came into my mind was that, binance is about to become more centralized and controlled by government because direct fiat deposit is only posible when binance have given up some form of control to the fiat financial system and their have to give up some right to the government or the regulators to control it activities.

I have expected this form of attack since the introduction of that feature and this time were binance and the sec i have a legal battle it becomes clear and certain that that service will be halted

dzungmobile

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I stand with Ukraine!

When you connect your account to commercial banks, you have more risk because banks have to obey more laws and controls from government and central bank.

If you have your money in cryptocurrency, you will have a more powerful tool to move your funds. You can move your funds faster than banks with many cryptocurrencies, not always but mostly.

I am pessimistic about Binance US. because Binance itself is not welcomed by US. government. However, how about Coinbase which is clearly a company which originates from the USA?

I will follow up the lawsuit of SEC. against Coinbase and if they win, they will continue to attack more cryptocurrency projects and cryptocurrency exchanges. I believe that Ripple and Coinbase will win against SEC.

KiaKia

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I read somewhere yesterday that China is welcoming all crypto exchanges to its country for a peace operation, US don't know what they are throwing out of the window right now, crypto isn't the reason why the USD is losing face, they are trying to make it look like that, but I suspect that many US citizens are moving their money off bank accounts into crypto investment and the government doesn't like this.

It's better if Binance leave the US for good, but I think it was not easy for CZ to run the Binance US in the first place, and he believes that the US citizens are playing a major part in the adoption of crypto, that's why he didn't want the US out of the book, this is my own thoughts, nothing confidential.

davis196

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Quote

What is Gary Gensler end game well and what I'm seeing Gary Gensler not trying to shut down Crypto as a whole in the US but he trying to shut down crypto companies in the US because big banks can then swoop in buy it all and take over the reason why I don't think Gensler is trying to shut down crypto as a whole in the US is that this will create a much bigger impact than he can handle

I don't really think that the big banks in the USA care that much about Binance.
Maybe the right decision for CZ would be to leave the USA completely and concentrate his business in other countries. If the US citizens want to still use Binance, they can do so, I don't think that the Security and Exchanges Commission can stop US citizens from investing their money outside the USA.
I don't mind the SEC trying to hit centralized crypto companies in the USA. The entire crypto industry needs to become fully decentralized at some point. Centralized exchanges must become a thing from the past.

onecall123

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Looks like things might not be so easy when it comes to cashing in. If the SEC and USA continue on their ruthless attitude, we could see a rapid decline in the value of the dollar and the USA becoming less relevant in the coming years. Although it may be frightening, history teaches us that when countries stifle innovation and freedoms, they tend to experience negative consequences. Yet bigger percentage of transactions happen outside the US. So while the SEC is busy destroying US innovation, the rest of the world will move forward.

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I'm pretty sure that Sec and other governmental organizations are totally against Binance and they are trying their best to shut it down by blaming it for the crime that has not yet been proven. They are basically doing this because the exchange has grown to a huge giant within few years and they don't want it to grow further.

If Binance continues growing like this then that day isn't far when CZ will be the richest person living on the Earth. That thing could be a huge treat to current economic system that is controlled by banks and governments. The governments can't accept the world's richest person to be someone who has reached the level of richness from crypto-currencies because that could be a harmful thing for the fiat system. And, many of the current fiat investors will try to move from it to crypto-currencies and that will certainly cause huge damage to stock exchanges.

Topic: Binance US Halts USD Deposits issues a fiat withdrawal warning? SEC vs Exchanges (Read 214 times)