The de-dollarization campaign has been clicking into gear on a global scale. Binance, the world’s largest crypto exchange, announced on February 6 that it would suspend deposits and withdrawals in US dollars. The company’s international customers have to confront the fact. The news did not come as a bombshell as a Binance spokesman had already prefaced the communique in an interview with CNBC. The company did not bother to provide a reason for this decision and said that the move would affect a small number of clients as “0.01% of our monthly active users leverage USD bank transfers.” The management tried to soothe clients and added that they were working hard to restart service as soon as possible, though no deadlines were specified.
After the decision comes into force on February 8, clients will still be able to use other fiat currencies or payment methods to purchase tokens on the platform. The suspension applies only to non-US clients who transfer money to or from bank accounts in dollars. The company operates Binance US, a division regulated by the US Treasury Department’s Financial Crimes Enforcement Network. “Binance.US has its own banking partners and does not have any issues,” the spokesman explained to CNBC.
No wonder, following the announcement, international clients rushed to drain their crypto wallets with Binance. Arkham Intelligence estimates that platform users withdrew more than $172 million from their accounts on February 6 alone.
