Binance Australia faces deposit issues due to a payment provider’s decision. Users cannot use PayID AUD deposits for now. Binance is searching for a solution. Meanwhile, users can use credit or debit cards for crypto transactions. The service provider executive warns about scammers using foreign exchanges.
Binance Australia Seeks New Payment Provider:
Binance Australia temporarily stops Australian dollar services due to its payment service provider, Westpac, cutting off support. As a result, users cannot make PayID AUD deposits. The exchange also warns that bank transfer withdrawals may be affected by this third-party decision.
Fellow Binancians,
We regret to inform you that with immediate effect we are unable to facilitate PayID AUD deposits for Binance users due to a decision made by our third party payment service provider. We understand from our third party payment service provider that Bank…
— Binance Australia (@Binance_AUS) May 18, 2023
Binance Australia doesn’t provide details on the reason for the suspension or when it will end. Instead, they mention efforts to find a new solution. They suggest users try their peer-to-peer marketplace instead.
Binance Australia is making efforts to find a new provider for AUD deposits and withdrawals. In the meantime, users can still use credit or debit cards to buy and sell crypto. The Binance P2P marketplace will continue to function normally. They assure users that their funds are protected through the Secure Asset Fund for Users (SAFU), an insurance fund that safeguards user funds in extreme situations.
Crypto Exchanges Struggling to Combat Scammers:
According to local media reports, Westpac has cut off several crypto exchanges, including Binance Australia. Westpac announced scam protection measures on the same day. Scott Collary, the group executive of customer services and technology at Westpac, reportedly explained the reason behind banning crypto exchanges.
Digital exchanges are important in the financial ecosystem. However, with the emergence of digital currency, scammers are increasingly using exchanges located in other countries.
Collary also mentioned that Westpac’s customers often realize they have been scammed when the funds have already left the country. At that stage, recovering the stolen funds becomes very challenging.
An unidentified spokesperson from Australian Payments Plus, responsible for managing Pay ID operations, confirmed the decision but denied any direct involvement in the issue.
The spokesperson stated that the responsibility lies with the organization and its third-party payment service provider.
Westpac’s ban on Binance Australia is the latest setback for the crypto exchange in the country. In April, the Australian Securities and Investments Commission (ASIC) revoked the license of Binance Australia’s local entity called Oztures Trading. The ASIC had been conducting a review of the exchange’s financial services business in Australia.
This information is for general knowledge only and should not be considered as advice for investing or making financial decisions.
