Binance Australia suspends some AUD services, effective immediately
AUD deposits using PayID have been suspended "with immediate effect" due to an issue with a third-party payments provider, Cuscal.
Update: We updated this article at 5:07pm AEDT, 18/05/2023 with a statement from Binance regarding its payment processor's partner bank, Cuscal.
Binance Australia has notified some Australian users via email and social media that Australian Dollar (AUD) deposits using PayID have been suspended, effective immediately.
AUD withdrawals using a bank transfer are also likely to become affected, although no timeline has been provided yet. At the time of writing (1:20pm AEDT, 18/05/2023) a Finder employee was able to successfully withdraw approximately $3,000 using a bank transfer.
Speaking with Finder, Binance made the following statement regarding its third-party payment provider, Cuscal.
"We can confirm that Cuscal, our payment processor's partner bank, has made the decision to end AUD deposit services. However, our users can continue to withdraw AUD and we will update any further changes on timing as we know more. Users are still able to buy and sell crypto via debit and credit card and rest assured their funds are safe through the Secure Asset Fund for Users (SAFU), an insurance fund that offers protection to Binance users and their funds in the event of extreme situations."
The SAFU fund was established to protect customers in the event of situations like hacks or theft, and was topped up to a value of US$1 billion in 2022.
An earlier statement by Binance also noted that "We are working hard to find an alternative provider to continue offering AUD deposits and withdrawals to our users" and that updates will be provided via email.
We regret to inform you that with immediate effect we are unable to facilitate PayID AUD deposits for Binance users due to a decision made by our third party payment service provider. We understand from our third party payment service provider that Bank…
— Binance Australia (@Binance_AUS) May 18, 2023
According to Binance Australian users can still buy or sell crypto using a credit or debit card, and the P2P marketplace is operating as usual.
Australians with cryptocurrency on the exchange can still withdraw to another exchange or wallet as normal. Anyone wanting to convert crypto to AUD and withdraw funds to a bank account may do so by transferring their cryptocurrency to another Australian exchange and trading them for AUD.
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Disclosure: The author owns a range of cryptocurrencies at the time of writing.