Why it’s going to be harder and harder to withdraw cryptocurrencies from Binance

Express limitation to seduce regulators – The Binance trading platform feels the regulatory grip tightening more and more around it. While it was among the most permissive crypto exchanges when it comes to customer identity verification (KYC) so far, things have suddenly changed.

A Bitcoin withdrawal limit divided by 30

For several weeks now, Binance has come under attack from financial regulators around the world. In the United Kingdom, Japan or Italy, the crypto-exchange hardly sees a day without new problems.

It is in this increasingly hostile environment that the exchange platform has just announced a rather radical change. The daily cryptocurrency withdrawal limit has been significantly lowered for customers who have completed the minimum identity verification.

According to the announcement on July 27, this limit drops from 2 bitcoins – or nearly $ 80,000 – to just 0.06 BTC, or about $ 2,400.

“Daily withdrawal limits will be adjusted to 0.06 BTC for accounts that have only performed basic account verification. This change takes effect immediately for new accounts and will be effective for existing users in stages, from August 4, 2021 until August 23, 2021. “

Binance Announces Daily Withdrawal Limits From 2 To 0.06 Bitcoin (BTC)
Binance Announcement on Daily Withdrawal Limits – Source: Binance

Regulatory spectrum hangs over Binance

Binance founder and current CEO Changpeng “CZ” Zhao indirectly confirmed that the announcement follows regulatory pressure that is increasingly being felt in the cryptosphere. In a tweet that followed the announcement, the executive explained his company’s desire for compliance:

“Binance is ready to help regulators around the world and together find the optimal way to establish a level playing field – consumer protection is important to all of us. We want to create a sustainable ecosystem around blockchain technology. “

The new restrictions applied by Binance on daily withdrawals

In order not to see their services limited overnight by financial regulators, crypto-exchanges are gradually complying with the laws that flourish in the crypto-asset sector. It will be recalled that Binance and FTX had already recently lowered their maximum leverage to stroke regulators in the right direction.

It never hurts to diversify platforms in order to avoid getting “stuck” by a sudden policy change. As such, Take the lead and register on the FTX benchmark platform while benefiting from a lifetime reduction on your trading fees.