Global cryptocurrency exchange giant, Binance revealed that its Visa debit card services would cease to operate within the European Economic Area (EEA). From December 20 Contis Financial Services, Binance’s card issuer, will discontinue issuing debit cards. Contis currently operates in 30 European countries.
Binance Visa debit card was introduced in the EEA back in September 2020. The debit card allowed users to convert their crypto holdings into local currencies. It allowed seamless in-store and online purchases. The EEA comprises all European Union member states, alongside Iceland, Liechtenstein, and Norway.
Although Binance users from around the world have enjoyed using [the Binance Visa debit] card to make day-to-day payments with crypto assets, only around 1% of our users are impacted by this change
Whats happening with Binance ?
This development marks yet another setback for Binance after month-long tussle in euro deposits and withdrawals due to a dispute with payments processor Paysafe. Binance is also not accepting new users in the United Kingdom due to the loss of a third-party service provider.
Binance.US has suspended U.S. dollar deposits and warned of upcoming withdrawal suspensions. It later partnered with MoonPay to allow U.S. users to purchase Tether (USDT) and recently permitted U.S. customers to convert fiat into stablecoin for withdrawals.
This isn’t the first partnership that Binance has lost. In September, Mastercard terminated its partnership with Binance in Argentina, Brazil, Colombia, and Bahrain. It identified regulatory scrutiny speculated as a possible factor behind the move.
The SEC’s claim that most cryptocurrencies on the platform should be classified as securities was another legal tussle to be worried about. Binance’s global journey continues to be hurdled by regulatory roadblocks. It highlights the evolving landscape of the cryptocurrency industry.