Binance Asks Paysafe Users to Convert EUR Balances to USDT by End of October

Binance has asked Paysafe users to convert their euro balances to USDT by the end of October as the payments provider has stopped processing euro deposits for the exchange’s users.

In a Thursday announcement, Binance said Paysafe has “unilaterally decided to stop processing EUR deposits for Binance users,” advising users to convert their euro balances to USDT.

The exchange also noted that users may continue to withdraw their euro balances from Binance accounts to their bank accounts.

Binance further detailed that Paysafe users will no longer be able to trade EUR spot trading pairs from September 28 at 4:00 am UTC and open orders will be canceled an hour later. 

“Users are strongly advised to update and/or cancel their Spot Trading Bots prior to the cessation of Spot Trading Bots services to avoid any potential losses,” the exchange said. 

Binance Convert, which operates like a token swap, will also be restricted for euro transactions.

Paysafe Ends Support For Binance 

As expected, Paysafe, Binance’s European payments partner, ended support for the exchange’s customers on the September 25 deadline.

Back in June, Paysafe announced that it would cease offering its embedded wallet solution to the exchange.

It is worth noting that Paysafe also blocked some Binance users as soon as last week ahead of the September 25 deadline.

At the time, a Binance spokesperson told Cryptonews that Paysafe has put “a very small portion (0.085%) of Binance users with Paysafe accounts in Europe through an earlier closure review.”

Binance tied up with Paysafe last year to allow its users to deposit sterling via Faster Payments, a network that oversees payments and bank account transfers in Britain.

Binance Market Share Shrinks as Exchange Faces Regulatory Scrutiny

As reported, Binance has seen a sharp drop in market share among non-dollar crypto exchanges.

The exchange’s market share among a group of exchanges that includes major Asian players like Upbit, Huobi, Bybit, and OKX hit 54% in August and is projected to further drop to under 51% in September.

This comes as the platform had a 75% market share among these exchanges at the end of 2022. 

Binance’s declining market share is largely attributed to the growing regulatory pressure. 

In June, the SEC sued Binance and its CEO for their “blatant disregard of the federal securities laws,” unveiling 13 charges against the platform, including operating an unregistered exchange.

Likewise, French authorities conducted a visit to Binance’s office in France last month. They are investigating allegations of illegal provision of digital asset services and aggravated money laundering.

Furthermore, the exchange was ordered to cease operations in Nigeria by the country’s Securities and Exchange Commission (SEC).

Binance has also faced regulatory challenges in multiple European countries, such as Belgium and Austria, as it prepares to comply with the EU’s forthcoming Markets in Crypto Assets (MiCA) regulations.