Buy Crypto with Mastercard Again: Binance Resumes Service
Binance, the leading cryptocurrency exchange globally, has announced the reactivation of its facility to purchase cryptocurrencies via Mastercard. This move comes as part of the platform’s strategy to simplify the transaction process and expand payment options.
As of June 6, Binance customers can again buy digital currencies using both Mastercard debit and credit cards. The reinstated service allows a single transaction limit of up to 5,000 euros, approximately $5,440 for transactions denominated in euros, and a maximum of $20,000 for those in United States dollars.
New Limits and Compliance Focus
The decision to restore Mastercard as a payment option follows an extensive evaluation of Binance’s compliance measures and operational controls, which Mastercard reviewed. A Binance spokesperson, in a statement, highlighted the company’s ongoing commitment to adhere to stringent compliance standards.
This development is part of Binance’s broader plan to integrate more regulated fiat payment providers to facilitate more intuitive and compliant cryptocurrency transactions.
However, the journey to this point has not been without challenges. Binance previously faced significant regulatory scrutiny. For instance, the service was interrupted when Binance had to discontinue its Visa debit card services in the European Economic Area on December 20, 2023.
The Binance Visa debit card, which converted cryptocurrencies from user accounts into local currencies for retail purchases, was halted a day after the exchange resumed euro deposits and withdrawals. These services had been suspended for a month following the withdrawal of support by the payments processor Paysafe.
Additionally, in September, Mastercard terminated its association with Binance in several countries including Argentina, Brazil, Colombia, and Bahrain. This followed a series of legal challenges for Binance, including a lawsuit by the United States Securities and Exchange Commission (SEC) in June 2023.
The SEC filed 13 charges against Binance, accusing it of misappropriating customer funds and engaging in unregistered securities offerings. Shortly before that, the Commodity Futures Trading Commission had also sued the exchange for not registering with it and violating numerous regulations.
Potential Resolution and Continued Leadership Transition
Despite these legal hurdles, the recent reenabling of Mastercard-based purchases might indicate a potential resolution to Binance’s regulatory issues, especially in light of its recent settlement in the United States.
Although Binance faced allegations of violating Anti-Money Laundering laws, there was no evidence found of user fund misappropriation. As part of the settlement, the exchange agreed to pay one of the largest criminal fines in history, amounting to $4.3 billion.
Furthermore, as a consequence of the legal proceedings, Binance founder Changpeng Zhao, commonly known as “CZ,” stepped down from his CEO position.
In April, a U.S. District Court sentenced Zhao to four months in prison and imposed a $50 million fine on charges related to money laundering activities at the exchange. Zhao began his sentence in June at a low-security federal prison in Lompoc, California. He plans to resume his activities in the cryptocurrency sphere following his release.
The post Buy Crypto with Mastercard Again: Binance Resumes Service appeared first on Coinfomania.
