Who wants the skin of Binance: Bitcoin exchange betrayed by new strategic partner

By: Bharggavi Ssayee

Who wants the skin of Binance: Bitcoin exchange betrayed by new strategic partner

July 15, 2021 7:10 AM

When will Binance bashing end? - The hard times follow for Binance, at a pretty incredible rate. The first big bad news was certainly the action of the FCA (the British financial authority) against one of the subsidiaries of the crypto-exchange, but today, it is squarely one of its partners who unleashes Binance in the open. .


Clear Junction stabs Binance in the back

The most well-known of the Bitcoin and crypto exchanges continue to suffer from many setbacks. On July 12, its partnership with one of its main payment processors suddenly came to an end.


According to the statement from Clear Junction, which offered the possibility of making SEPA transfers to Binance users since June 2020, the shutdown of its services is immediate:


“[The company] Clear Junction confirms that it will no longer facilitate payments linked to Binance. The move was made following a recent announcement from the Financial Conduct Authority (FCA) that Binance is not authorized to undertake any regulatory activity in the UK. We have decided to suspend payments in pounds sterling and euros, and we will no longer facilitate deposits or withdrawals in favor of or on behalf of the crypto trading platform (…) ”


Real relentlessness against Binance?

We now understand better why, on July 7, Binance had to suspend its SEPA transfer offer overnight.


As mentioned above, a good part of the recent problems of the crypto-exchange started from the ban from the activities of its subsidiary Binance Markets by the FCA, because this company offers financial products derived from cryptocurrencies, which are subject to regulation, unlike the classic exchanges (spot) of cryptocurrencies which are not.


But for once, the decision of Clear Junction deprives all users of the platform of transfers, even to simply buy crypto-assets. Fortunately, in counterattack, Binance offered zero fees on credit card purchases.


Other troubles have also surfaced for Binance over its access issues, during connection saturations due to strong movements in the crypto market. Traders claiming to be wronged have launched a class action lawsuit against the platform to seek compensation.