Cryptocurrency exchange Binance announced it will close its regulated crypto service Binance Connect on August 16th.
Binance Connect, originally launched in March 2022 as Bifinity, acted as a fiat on-ramp allowing users to purchase crypto with debit/credit cards and bank transfers. The shutdown comes as Binance continues facing regulatory scrutiny globally.
A Binance spokesperson said “We periodically review our products and services to ensure focus on our long-term strategy. As a leading blockchain ecosystem, we adapt to changing market conditions.”
At launch, Binance Connect supported 50 cryptocurrencies and various fiat payment methods. It also powered fiat transactions for Binance’s self-custody Trust Wallet.
The news follows Binance Australia suspending fiat services in March over a third-party issue. In June, Germany rejected Binance’s crypto custody license application.
However, Binance did receive a crypto broker-dealer license in Dubai this July. The exchange remains embroiled in legal battles with US regulators over allegations of operating an unregistered exchange domestically.
The shutdown exemplifies Binance’s ongoing struggles with regulators as it aims to become a licensed, compliant global crypto business. The company plans to redirect resources to core products aligning with its long-term vision.
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