The chapter of Binance Connect, Binance’s regulated division dedicated to the buying and selling of cryptocurrencies, is coming to an end. The news was confirmed by a company spokesperson, who stressed that the decision was part of an adaptation to ongoing changes in market needs as well as user requirements.
Clap de fin for crypto payments service
While the exchange of CZ is encountering a series of obstacles in several countries, notably in Nigeria where the authorities are calling for the platform to be banned, Binance is forced to close its regulated buying and selling branch, Binance Connect.
According to correspondence cited in a report by CoinTelegraph and attributed to a Binance, Binance Connect will close its doors this Wednesday, August 16.
At Binance, we periodically review our products and services to ensure that our resources remain focused on core efforts that align with our long-term strategy. Over the past six years, Binance has grown from an exchange to a global blockchain ecosystem with multiple lines of business. We are constantly adapting and modifying our business approach in response to changing market and user needs.
Spokesperson’s statement
Binance Connect leaves the scene prematurely
The history of Binance Connect was brief, but significant. Launched with great fanfare in March last year as Bifinity, the service aimed to facilitate the integration of traditional financial institutions into the world of crypto.
It offered merchants the possibility of accepting payments in cryptocurrencies, with an extensive choice of 50 digital currencies and all major payment methods, such as Visa and Mastercard.
Its purpose was to serve as a bridge between the world of traditional finance and that of blockchain. However, the life of Binance Connect has been fraught with obstacles. As soon as it was launched, the service met with skepticism from regulators.
Indeed, the Financial Conduct Authority (FCA) United Kingdom expressed concern about a $36 million loan from Bifinity to crypto investment company Eqonex listed on Nasdaq. A situation which led the FCA to rule that individuals and entities affiliated with the group Binance would be considered beneficial owners.
Although Binance is currently facing several major controversies, it’s important to note that the platform’s news isn’t all about challenges. Recently, the platform succeeded in obtaining a license to operate in El Salvador as a bitcoin service provider (BTC). It has also obtained another license in the United Arab Emirates.
As a journalist at Coinpri, I’ve been captivated by the world of bitcoin and blockchain since 2020. The decentralized aspect of Bitcoin particularly piqued my interest. Since then, I’ve been working constantly to spread my knowledge, hoping one day to see a world where everyone fully enjoys their financial freedom.
