Binance.US Resumes USD Deposits and Withdrawals After Regulatory Setback

Binance.US, the American division of Binance, has reinstated US dollar deposit and withdrawal services after nearly 18 months. This follows regulatory challenges, including a lawsuit from the U.S. Securities and Exchange Commission (SEC) in June 2023.

Users can now deposit and withdraw USD via bank transfers (ACH), link bank accounts, and trade crypto with USD pairs. Binance.US announced on February 19 that these services would gradually roll out to all eligible users.

The SEC’s 2023 lawsuit accused Binance and its founder, Changpeng "CZ" Zhao, of failing to register Binance.US as an exchange and mismanaging user funds. Following the lawsuit, Binance.US halted USD transactions and transitioned into a "crypto-only exchange" by October 2023.

In November 2023, Binance faced further legal trouble, agreeing to a $4.3 billion settlement for violating Anti-Money Laundering laws. As part of the settlement, Binance committed to strict compliance measures and withdrew from the U.S. market.

The return of USD transactions on Binance.US suggests a strategic shift, possibly indicating efforts to align with U.S. regulations. The move could restore user confidence and increase liquidity on the platform as it seeks to navigate ongoing regulatory scrutiny.