Binance, one of the world’s largest cryptocurrency exchanges, has announced that it will no longer offer its Binance card services in the European Economic Area (EEA).
This decision means that holders of the Binance Visa debit card issued under the EEA program can no longer make card purchases after Dec. 20, according to a blog post Friday (Oct. 20) on Binance’s support website.
The discontinuation of the Binance card services only pertains to the physical or virtual debit cards issued by Binance. Users’ Binance accounts will not be affected, and they will still be able to access and use their accounts as usual.
Those who currently possess a Binance Visa debit card can continue using it until Dec. 20. After this date, card purchases will no longer be possible. Binance suggested exploring alternative options, such as Binance Pay, a contactless and secure cryptocurrency payment technology developed by Binance.
Binance Pay allows users to make crypto payments at merchants that accept it. Users can access Binance Pay directly from their wallets within their Binance accounts.
The closure of the Binance Card services also affects the Ukraine Refugee Cards issued under the EEA program. All Binance Visa Debit Cards falling under this program will be impacted.
Despite discontinuing the Binance Card services, users can still expect to receive cashback rewards for successful transactions. Binance assures that the distribution of cashback rewards will continue as usual.
The Binance Card allowed users to convert and spend cryptocurrencies at more than 60 million online and offline merchants worldwide. It was available to users from European countries, including France, Germany and Spain. However, Binance has faced growing scrutiny from U.S. regulators, leading to retrenchment and the discontinuation of partnerships with Mastercard and Visa. The U.S. Securities and Exchange Commission sued Binance and its CEO, Changpeng Zhao, in June for breaking securities rules.
Binance has been increasingly isolated from the traditional financial system, with restrictions imposed by the U.S. banking system and limitations on accepting bank transfers in Australia, according to Bloomberg News. The company also recently shuttered Binance Connect, which allowed businesses to accept crypto payments via Visa and Mastercard.