Binance.US taps MoonPay as banking alternative to regain USD ramps
After having its banking ties slashed, crypto exchange Binance.US has revived its U.S. dollar on-ramp through a new partnership with MoonPay.
Two months after becoming a crypto-only platform, Binance.US has announced a new partnership with crypto payments firm MoonPay to allow users to buy the U.S. Dollar-pegged stablecoin Tether (USDT) to useon its platform.
In an Aug. 22 statement, the crypto exchange announced that USDT was being adopted as the new “base asset” for all transactions and its partnership with MoonPay allows a path for users to transact in USD.
The new partnership comes in the wake of Binance.US suffering a breakdown with its banking partners which saw fiat deposits on the exchange halted as of June 9.
At the time, it cited “aggressive and intimidating” tactics from the Securities and Exchange Commission — which sued the exchange and its affiliates four days prior — as the reason for the disruption.
Today, we’re excited to introduce a new $USD on-ramp!
✔️ Buy $USDT on https://t.co/AZwoBOgsqS through payment partners like @moonpay, which supports debit & credit card, Apple Pay, and Google Pay.
✔️ Sell USDT for USD to withdraw via bank transfer.
Learn more & get started ⤵️
— Binance.US (@BinanceUS) August 22, 2023
Binance.US customers looking to fund their accounts can now exchange dollars for USDT which can in turn be used to purchase other cryptocurrencies on the platform, according to the statement.
While direct bank deposits remain disabled on Binance.US, the partnership offers users an on-ramp that supports purchases through debit and credit cards along with Apple and Google Pay.
On June 23, the exchange experienced a series of issues with USD-denominated withdrawals but managed to temporarily recover the functionality. At the time, it warned that the service would be discontinued in the near future.
Related: DoJ concerned about a run on Binance if prosecutors bring fraud charges: Report
Prior to Binance.US and its affiliates being hit by a lawsuit from the SEC, the exchange supported the purchase and sale of popular cryptocurrencies through direct USD deposits and withdrawals.
In March, a number of crypto exchanges and service providers lost their banking partners amid a wider banking crisis that saw a number of crypto-friendly banks such as Silicon Valley Investment Bank, Silvergate, and Signature Bank collapse all within the span of a few weeks.
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