Signature Bank imposes $100K limit on National Currency-to-Cryptocurrency

Binance Users Undergo Restrictions to Limit Bank's Exposure to Crypto

During the course of yesterday, Binance contacted a portion of its users who were informed that one of its partners, Signature Bank, will stop handling “national currency-to-cryptocurrency” transactions that will have a value of less than 100 thousand dollars.

- Advertisement -

This new bank policy will take effect on February 1 and is intended to limit the bank’s exposure to cryptocurrencies. Signature Bank, an institution that offers financial services targeted at small businesses and retail customers at the executive level, suffered a 64% drop in its share price in 2022.

With the goal of reducing by billions

Signature Bank also provided services to FTX, which is known to have completely collapsed. In order to avoid finding itself in such a difficult position again, it appears to be attempting to dump up to $10 billion in deposits belonging to companies and investors heavily involved in cryptocurrencies.

Who is affected?

As a result of this new Signature Bank policy, some Binance users may, temporarily, be unable to buy or exchange cryptocurrencies for national currencies using the SWIFT channel. Of course, this does not affect exchanges between cryptocurrencies or the ability of this portion of users to transfer their assets to another platform and cash them out.

Binance stressed that Signature Bank’s policy change will only affect about 0.01% of its user base, and that the group is actively seeking a solution for those who will find themselves without an option to withdraw in national currencies in about a week.

Read Also: Binance gains regulatory approval in Sweden, now licensed in 15 countries

Previous Articles:

- Advertisement -

Latest

Bybit Slashes Web3 Services Amid Strategic Product Refocus

Bybit is discontinuing multiple Web3 services, including its Cloud Wallet, Keyless Wallet, and DEX Pro by May 31, 2025.Several additional services will be shut...

Russia Mulls Stablecoin for Trade as Tether Freezes Funds

Russia's Finance Ministry official proposes creating a national stablecoin for international trade amid sanctions.Russia seeks alternatives after Tether froze $28.5 million linked to sanctioned...

Cardano Speeds Up: Ouroboros Peras to Slash Settlement Times

Cardano's Ouroboros Peras update will reduce transaction settlement times to approximately two minutes.The upgrade introduces a voting-based chain selection process and certificate system for...

Base Token Crashes 88% Minutes After Surprise Proprietary Launch

Base Blockchain's surprise launch of a memecoin called "BASEISFOREVERYONE" crashed 88% within two minutes, then plummeted further by 94%.Coinbase and Base executives previously stated...

Bitcoin Miner Auradine Raises $153M to Expand into AI Data Centers

Bitcoin mining equipment maker Auradine secures $153 million in Series C funding, bringing its total investment to $300 million.The company launches AuraLinks AI, a...

Must Read

This is How to Buy and Sell Bitcoin

Now more than ever, there are a variety of ways to enter and exit the crypto market. While this is good, the availability of...