Introduction

Binance.US has partnered with the payment startup to facilitate dollar transactions for its users.

Faced with mounting legal and regulatory challenges, Binance.US has sought a new alliance to address the persistent money transaction issues that have plagued its operations. As part of its strategy to win back dollar transactions for its users, Binance.US has partnered with payment provider MoonPay.

Challenges with Dollar Transactions

For several weeks, Binance.US users have been experiencing issues with both depositing and withdrawing dollars. This setback was attributed to the severing of ties with multiple banking partners.

MoonPay Integration

With the MoonPay integration, Binance users will be able to purchase Tether (USDT) stablecoins with their debit/credit cards, including mobile payment systems such as Apple Pay and Google Pay. Then, these stablecoins can be traded for a variety of other digital assets available on Binance.US. This development was confirmed by an email recently circulated by Binance.US to its user base.

Legal and Organizational Challenges

However, the challenges of Binance.US are not just financial. Organizational confrontations also played a role. Back in June, both Binance.US and its global counterpart Binance.com found themselves in the crosshairs of the US Securities and Exchange Commission (SEC).

Impact on Market Share

The SEC has filed claims alleging multiple violations of securities law by the platforms. Although Binance.US, Binance.com, and their founder, Changpeng Zhao, objected to these fees, there has been an exodus of users from these platforms.

During the initiation of the lawsuit, Binance.US reportedly managed clients’ crypto assets worth more than $2 billion. However, in the subsequent months, there was a sharp contraction of the platform’s liquidity, and its market share fell dramatically. Once seen as a heavyweight, its influence now pales in comparison to other US-based cryptocurrency exchanges such as Coinbase and Kraken.

Remaining Banking Partnerships

In an interview with Bloomberg, Binance.US explained that its ability to manage clients in US dollars remains intact, thanks to its remaining banking partnerships. However, specific details regarding these affiliations have been withheld by the exchange.