Binance Loses European Banking Partner Paysafe

Binance can’t seem to catch a break in Europe.

This month has already seen the cryptocurrency giant face a criminal probe in France, a reported order to shut down its services in Belgium, and its voluntary exit from the Netherlands.

Now, Binance’s European banking partner, Paysafe, is set to stop providing euro deposits and withdrawals via bank transfer beginning in September.

“At that time, our users will need to update the banking details used to deposit to their Binance accounts and may be required to accept new terms and conditions to continue using SEPA services after this date,” a company spokesperson told PYMNTS Thursday (June 29).

Binance said it would update the situation “in due course” and said for now, all methods of depositing and withdrawing other fiat currencies as well as buying and selling crypto on Binance.com are unaffected.

A Paysafe spokesperson provided PYMNTS with this statement from the company but declined to offer further comment: “Following a strategic review, we have taken the decision to cease offering our embedded wallet solution to Binance across the region. Paysafe and Binance are now working to mutually implement an orderly and fair process to terminate this service over the next few months.”

Paysafe had also worked with Binance in the U.K. until March, when it stopped providing crypto transfers. The company told PYMNTS at the time that it had “concluded that the U.K. regulatory environment in relation to crypto is too challenging to offer this service at this time and so this is a prudent decision on our part taken in an abundance of caution.”

The same regulatory environment has Binance facing legal troubles around the world, including legal action in the U.S. by the Securities and Exchange Commission (SEC).

Earlier this month, news broke that the Paris prosecutor’s office was investigating Binance for operating illegally as a digital asset provider, and for money laundering.

Binance and its CEO Changpeng Zhao downplayed the investigation on Twitter. Zhao added that the inspection by French authorities was part of a wider look into other crypto businesses operating in Paris.

For all PYMNTS crypto coverage, subscribe to the daily Crypto Newsletter.