Binance is blocking US users. What’s happening?
One of the most famous and reputable cryptocurrency exchanges – Binance began a massive blocking of US users. Many residents of this state received a letter stating that funds must be withdrawn from the site within 90 days. Otherwise, the account will be permanently blocked. Next, we will consider the causes, consequences, and methods of dealing with this event. So let’s get started.
The essence and causes of the event
Let’s first describe the context for those readers who are not US citizens. Binance has been heavily criticized several times in the country. The exchange was accused of allegedly collaborating with BitMEX. The platform, as you remember, was reproached for serious violations of the rules established by the Commission on Futures Trading. However, there were no government bans or really serious public censure regarding Binance. Small local complaints were resolved very quickly by support, and the exchange as a whole flourished.
However, after the blocking of BitMEX in the US, Binance management really thought about leaving the US market. The fact is that not a single site is insured against government sanctions. Binance understands this, and therefore the heads of the company decided to independently leave the digital field of the state. Users with US IP addresses have received a notification that their account may be blocked. There is no possibility of restoring funds, the blocking is carried out once and finally. That is why it is extremely important to know what to do in this difficult situation. On the measures of work in the new conditions – in the next section.
What should Binance users do?
In fact, blocking is not catastrophic. Binance representatives have previously created a separate branch of the exchange, but exclusively for the American market. The platform was named Binance US. In the emails that come to users, the developers suggest that they independently switch work to a specially targeted platform. Funds can be transferred to a new account for now. This is a great solution. Yes, it might be a little hassle with creating a new account. The old profile, sooner or later, will be deleted. After all, the main organization Binance really intends to leave the United States.
The local media associate this event with the results of the election of a new president. Skeptics believe Biden will launch an active campaign against the crypto industry. But, most likely, this opinion is wrong. A liberal-minded politician is unlikely to oppress a progressive blockchain. However, Binance sees the closure of BitMEX as the beginning of a disastrous trend, from which company representatives want to leave on their own.
The haste of the measures taken cannot be ruled out. Binance may well be back on track and going through the main organization. However, at the moment, accounts are indeed blocked on an industrial scale.
Earlier, the CEO of Binance himself noted that changes would begin in the crypto industry and urged everyone to prepare for disastrous changes. Apparently, his statement was not in vain. There is a good chance other crypto industry ventures will follow Binance’s lead. So all users on the exchanges need to be careful and remain vigilant. In this difficult time, it is very important to follow the latest news from the crypto industry and the world of the Blockchain. Stay updated in news with us. We publish only high-quality and interesting material. Thanks for attention. Good luck!
