Silvergate Bank has reportedly discontinued its partnership with crypto exchange Binance. Binance users can no longer deposit and withdraw funds from the platform using Silvergate Bank.
Silvergate and Binance part ways
Leading cryptocurrency exchange Binance has told its customers that they can no longer deposit and withdraw funds via Silvergate Bank. The exchange relayed this information to its customers via email earlier today.
San Diego-based Silvergate is a leading bank for innovative businesses in fintech and cryptocurrency. The discontinuation of the service came to many as a surprise due to Silvergate’s support of the cryptocurrency market.
Binance just lost one of their bank accounts. Don’t worry, when Bitcoin exchanges lose the ability to wire you real money, you can still withdraw crypto.
Just buy bitcoin and withdraw bitcoin. That boosts bitcoin prices… just be quick to sell it on exchanges with actual banks. pic.twitter.com/8ByjWxdbjG
— 𝙱𝚒𝚝𝚏𝚒𝚗𝚎𝚡’𝚎𝚍 🔥 🐧 (@Bitfinexed) June 10, 2021
Per the email, Binance assured its customers that it is looking to provide them with an alternative USD solution. The exchange said deposits made to the platform via Silvergate after UTC 23:59 today would be returned to the user’s account after 21 working days.
At the time of this report, Binance and Silvergate Bank are yet to issue a public statement regarding this latest development.
Binance parts way with CEO
Binance losing Silvergate as a banking partner came barely 24 hours after its chief executive officer resigned. A Binance spokesperson revealed yesterday that CEO Wei Zhou had left the company after working with them for nearly three years.
It is unclear why Zhou left Binance. However, the spokesperson said he left the company due to some personal reasons.