Binance this week announced a moratorium on direct withdrawals and deposits in Brazil. The exchange issued a statement announcing that this was the result of a change in payment partners in the country and that it would take legal action against it. However, the partner stated that Binance has not adapted to provide the new KYC information required by Brazil’s central bank.
Binance stops really relevant movement
Binance stopped live-based direct deposits and withdrawals in Brazil this week due to changes in secondary payment providers.find change Announce It is making the necessary changes to address this in the future to continue providing these services to its Brazilian customers. In a blog post explaining the situation, Binance stated:
[Binance] A smooth transition will be facilitated in the coming weeks and all necessary steps are being taken, including capital-related laws, to ensure users are not adversely affected by the changes.
Additionally, the exchange said that Brazil is an “extremely relevant market for the company” and will continue to invest and expand services in the country.
Capital, the bank that provides payment services to Binance and other exchanges in the country, clarified that the situation is related to new requirements imposed by the Central Bank of Brazil on its participants in the Pix payment platform. According to Capital’s statement, the bank updated its technology platform to accommodate these changes and asked its partners to adapt their platforms to these new changes as well.
Partner exchanges Kucoin and Huobi have adjusted their systems to accommodate the changes taking place on the Capital platform and regularly offer their users to trade with Real,
This means that, according to them, only Binance has failed to adapt its technical platform to comply with the new requirements imposed by the Central Bank of Brazil. The bank concluded that the requirements cannot be avoided as they are “mandatory for its operations and those of its business partners”.
Binance’s new payments partner is about to be announced, and the company simply describes it as a “local payments provider with extensive experience.” At the same time, Binance is directing its users to use other withdrawal and deposit methods.Exchanges have recently had to pause Bitcoin (Bitcoin) worldwide withdrawals due to hardware wallet failure during wallet integration.
What do you think of Binance’s suspension of deposits and withdrawals in Brazil? Let us know in the comments section below.
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