top of page

Binance Shuts Down its Crypto Payments Solution

The leading exchange shut down Binance Connect on August 16, due to “changing market and user needs.”


Binance is shutting down its crypto payments.
Creator: Dado Ruvivc Credit: Reuters

Leading crypto exchange Binance is shutting down Binance Connect, its crypto payment service. The announcement was made by Biswap, a decentralized exchange platform built on the BNB chain, and reason for the closure was not disclosed in detail. Biswas said that Binance Connect was shut down because its provider ended support for credit card payments.


Binance didn’t share more details on the topic either. A spokesperson from Binance just stated that Binance Connect was closed due to “changing market and user needs.”


Binance also released an official statement regarding the closure, which stated:


“At Binance, we periodically review our products and services to ensure that our resources continue to be focused on core efforts that align with our long-term strategy,” 


Is Binance in Trouble?


While Binance claims that the shutdown was due to changing customer demand, the crypto community contemplates that it might be a sign of financial trouble for Binance. 


Even though the exchange is still leading as the world’s largest centralized crypto exchange, its global dominance has been decreasing. According to a recent report from CoinGecko, Binance’s trading volume recorded a 52.4% decline between the first quarter of 2023 and the second. 


The 52.4% decrease in the trading volume equals  $823.9 billion. In comparison, the collective volume of the other major crypto exchanges dipped by $270.8 billion during the same timeframe.


Binance Connect


Binance Connect, also known as Bifinity, was launched in March 2022. It was essentially a fiat-to-crypto payment infrastructure that aimed to bridge the gap between traditional finance and crypto. With Binance Connect, users were able to issue payments to over 50 countries. It also allowed users to make crypto purchases using traditional finance tools like Mastercard and Visa.


Comments


bottom of page