Regulated buy-and-sell arm of Binance, Binance Connect, shutting down

• Biswap already announced turning off Binance Connect on their website at 01:00 PM UTC, August 15, 2023.
• Binance made the difficult decision after its provider closed the supporting card payments service.
• Binance has been facing quite some regulatory challenges lately.

In a surprise announcement on August 15, Binance has through a representative confirmed that it will be closing its licensed buy-and-sell cryptocurrency arm on August 16. The company’s representative said:

“At Binance, we periodically review our products and services to ensure that our resources continue to be focused on core efforts that align with our long-term strategy. In the last six years, Binance has grown from being an exchange to a global blockchain ecosystem with multiple business lines. We consistently adapt and modify our business approach in response to changing market and user needs.”

The same has also been confirmed by BNB Chain decentralized exchange Biswap through a tweet stating that the exchange has disabled Bnance Connect.

Dear Biswappers,

The Biswap team keeps abreast of the latest DeFi news and aims to inform you right away.

After a thorough consideration, @binance has made a difficult decision to disable @Binance_Connect on 15 August due to its provider closing the supporting card payments… pic.twitter.com/HcooyLn4sg

— Biswap (@Biswap_Dex) August 15, 2023

The announcement comes right on the heels of Binance US filing to limit the US SEC from overstepping its investigation boundaries according to an earlier agreement. Binance and its subsidiaries have been facing increased regulatory handles, especially in the US where it is being accused of offering unregistered securities alongside its rival Coinbase.