Binance.US tells customers to withdraw their cash from the exchange as the SEC pursues its 'ideological' attack on the crypto industry

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  • Binance.US urged its customers to withdraw cash from the crypto exchange in a recent notice.

  • It said its partner banks are preparing to shut off fiat withdrawal channels.

  • The moves are part of an “ideological campaign” against the US crypto industry, Binance said.

Binance’s US arm is urging its customers to withdraw their cash from the crypto exchange by next week, as the Securities and Exchange Commission tightens the screws in its “ideological campaign” against the industry.

In a tweet Thursday evening, Binance.US alerted customers that its banking partners would be shutting off withdrawal by June 13, which could prevent the exchange from accepting deposits or issuing withdrawals in US dollars.

It urged American customers to withdraw any fiat cash by the June 13 deadline, adding withdrawals could take longer than usual due to elevated activity on the platform. Customer deposits are still safe, it said, as assets are backed on a 1:1 ratio.

After June 13, Binance.US will become a crypto-only platform until it can find “more stable” banking partners, it said.

“The SEC has taken to using extremely aggressive and intimidating tactics in its pursuit of an ideological campaign against the American digital asset industry. Binance.US and our business partners have not been spared in the use of these tactics, which has created challenges for the banks with whom we work,” the exchange said in a statement.

“The SEC has brought unjustified civil claims against our business, from which we will continue to vigorously defend ourselves, our customers,” it later added.

Binance is facing 13 charges from the SEC, after being scrutinized by regulators for months over its compliance with US securities laws. Among other violations, the SEC has accused the firm of misrepresenting trading controls on Binance.US, as well as secretly allowing “high-value” US clients to trade on, though American customers are supposed to be restricted from its main platform.

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