- Binance has announced shutting down its Visa Card Service.
- Users have until late December to use the card.
- The exchange attributed the sudden closure to a Lithuanian electronic money institution.
While a sense of calm returned after it reinstated Euro deposits and withdrawals, the exchange has once again disrupted waters by discontinuing its Visa Card service, leaving users open-jawed.
Binance Visa in EU to Shut Down
On Friday, October 20, Binance announced that it will no longer be offering its Binance Visa Card services in the European Economic Area, comprising 27 European Union Member States. The exchange set a clear deadline, giving existing users until December 20 to continue using their physical and virtual cards before they are deactivated.
The Binance Visa debit card would allow users to convert their crypto to local currencies, thus allowing them to use crypto to pay for purchases in stores and online.
Binance clarified that the discontinuation of the card would not affect users’ exchange accounts. Instead, the exchange recommended that customers use Binance Pay, their contactless crypto payment technology, which is accessible in select European regions.
While Binance’s official announcement offered scant information about alternatives or the reasons for their abrupt closure, customer reports shed light on the situation. According to these reports, the exchange clarified in an email that the sudden halt is attributed to its card issuer, known as Finansinės paslaugos Contis, or Contis Financial Services.
On the Flipside
- Binance restored Euro deposits and withdrawals a day prior to halting its Visa debit card services.
- According to the exchange, the discontinuation of the card will affect the cards it offered Ukrainian refugees.
- Only 1% of Binance users have access to the Visa card.
Why This Matters
The sudden discontinuation of Binance’s Visa card services adds to the growing list of the exchange’s problems. Amidst a backdrop of mounting issues, including the departure of senior executives, legal disputes, and rumors of insolvency, this abrupt closure could potentially steer the exchange toward a precarious future.
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