Binance is suspending dollar transfers

The company said that 0.01 percent of their active monthly users used dollar bank transfers and added that they are “working hard” to get the service up and running again as soon as possible.

Binance US, a subsidiary of the company that falls under the jurisdiction of the U.S. Department of the Treasury’s Financial Crimes Enforcement Network, said in a tweet that it was not affected by the suspension, CNBC reported. From this, they concluded that the move by the Binance exchange only applies to non-US customers who transfer money to or from dollar bank accounts.

Data from Arkham Intelligence shows that there was a sharp increase in outflows from Binance’s crypto wallets after the announcement, as millions of dollar-pegged “stable coins” such as tether and USDC, CNBC reported.

“Binance’s net outflow in U.S. dollars was over $172 million for the day, based on data from DefiLlam. That represents a small amount of money for a company that has $42.2 billion worth of crypto assets,” Arkham Intelligence stated.

Binance’s exchange token BNB has retained value since the announcement, hovering around $328.

Rosbank also banned the dollar transactions

Russia’s Rosbank suspended operations in U.S. dollars, euros, and dirhams after the United States imposed sanctions on the bank and its owner, Vladimir Potanin.

The Washington statement should have mentioned the mining giant Nornickle, in which Potanin is the largest shareholder.

Holding Interros owns a 36 percent stake in Nornickle, the world’s largest palladium producer and refined nickel.