Binance withdraws crypto card in LatAm and Mid-East

Binance is pulling in its horns in Latin America and the Middle East by withdrawing its crypto payment credit card. 

Without providing a reason for this latest move, Binance has announced that it will be withdrawing the service, effective on 25 August (tomorrow), and terminating in both regions on 1 September. 

The card functioned like other crypto payment cards in that customers could use it to pay for goods and services by using their cryptocurrency assets.

Binance did not make the announcement in a normal manner, and instead it was a customer’s question on Twitter that led to Binance’s response which included the notification of a termination of the card.

Hello there,
The Binance Card will no longer be available to users in Latin America and the Middle East. The product, like most debit cards, has been utilized by Binance’s users to pay for basic daily expenses but in this case, the cards are funded with crypto assets. Only a tiny…

— Binance Customer Support (@BinanceHelpDesk) August 23, 2023

The response did specify that only a very small percentage of their users (1%) would be affected by the card withdrawal, and that Binance Pay (recently launched in Brazil) was available for use in shopping and sending crypto.

Amid all the ongoing regulatory issues that beset Binance, especially in the U.S., its payment options are in a state of flux. Checkout.com recently terminated its contract with Binance over AML and compliance concerns. 

Preceding this, in June, Paysafe Payment Solutions, which acted as Binance’s European banking partner, decided to withdraw its services.

It would appear that both the U.S. and Europe both have Binance in their sights as a regulatory target. The largest crypto exchange and its entrepreneurial owner have a fight on their hands and the future of crypto will certainly feel the impact.

Disclaimer: This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.