Binance EU Users Face Fiat Withdrawal Issues – What’s Going On?

Binance Europe
Last updated:
Author
Author
Ruholamin Haqshanas
About Author

Ruholamin Haqshanas is a contributing crypto writer for CryptoNews. He is a crypto and finance journalist with over four years of experience. Ruholamin has been featured in several high-profile crypto...

Last updated:
Why Trust Cryptonews
Cryptonews has covered the cryptocurrency industry topics since 2017, aiming to provide informative insights to our readers. Our journalists and analysts have extensive experience in market analysis and blockchain technologies. We strive to maintain high editorial standards, focusing on factual accuracy and balanced reporting across all areas - from cryptocurrencies and blockchain projects to industry events, products, and technological developments. Our ongoing presence in the industry reflects our commitment to delivering relevant information in the evolving world of digital assets. Read more about Cryptonews
Source: AdobeStock / Iryna Budanova

Some Binance customers in the EU have been blocked from withdrawing euros as part of an early change in the crypto exchange’s regional payments provider looms.

Several users in the region have been denied access to Paysafe, Binance’s European payments partner, ahead of the September 25 deadline, when the payments company is set to end support for the exchange’s customers.

One user Ervin Ursic has reportedly said that he’d sent some ether (ETH) to his account on September 12 and sold it for euros, but was unable to withdraw the funds. 

Instead, the user faced a pop-up message that his account had been closed early with no prior warning. 

“As a high-frequency Paysafe service user, Paysafe closed your account early to speed up this process. Any remaining EUR/GBP in your account can be withdrawn once the review is completed,” the message titled “Paysafe Notification” said.

In a comment to Cryptonews.com, a Binance spokesperson said that Paysafe has put “a very small portion (0.085%) of Binance users with Paysafe accounts in Europe through an earlier closure review.”

“As a result, Paysafe will delay withdrawals for affected users. Once Paysafe completes their review, affected users should be able to withdraw funds via bank transfer.”

The spokesperson added that Binance has offered VIP upgrade vouchers to affected users “in recognition of the inconvenience imposed on our users by Paysafe.”

In a Friday statement, Paysafe said it “cannot speculate in the media on why this particular customer is unable to make transactions and it is Binance who holds the relationship with the customer not Paysafe.”

The statement added that Paysafe services for Binance customers “are fully operational with our contractual and regulatory obligations.”

Paysafe Discontinues Deposits and Withdrawals For Binance 

Paysafe facilitated fiat deposits and withdrawals for Binance users in Europe, including through bank transfers within the EU’s Single Euro Payments Area (SEPA). 

However, in June, the payments provider announced that is winding down support for its embedded wallet service for Binance’s EU customers following a strategic review. 

This decision came after Paysafe had already withdrawn support for the British pound for new Binance users in May.

Binance has been under heightened regulatory scrutiny globally since the market turbulence of the previous year.

Back 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.

The agency accused Binance of breaking the law by offering unregistered securities to the general public, including its BNB token and BUSD stablecoin.

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.

The exchange was also 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.

The regulatory pressure has caused Binance’s market share to shrink by 25% during the period between February to June. 

More Articles

Bitcoin News
Tether CEO Paolo Ardoino Dismisses JP Morgan’s Bitcoin Sell-Off Prediction
Hassan Shittu
Hassan Shittu
2025-02-13 16:12:40
Blockchain News
N.Korean Hackers Boost Crypto-Looting Methods: Hiding Malware in GitHub, NPM Packages
Sead Fadilpašić
Sead Fadilpašić
2025-02-13 16:03:27
Crypto News in numbers
editors
Authors List + 66 More
2M+
Active Monthly Users Around the World
250+
Guides and Reviews Articles
8
Years on the Market
70
International Team Authors