Crypto Exchange Binance Turns to Payments Startup MoonPay for Customer Deposits

Binance.US customers now have access to MoonPay to allow them to buy crypto and withdraw fiat from the crypto exchange.
Binance.US was forced to suspend U.S. dollar deposits in June after losing ties with various banking partners.

Payment startup MoonPay is allowing Binance.US customers to convert dollars into crypto after the exchange suspended U.S. dollar deposits in June.

Customers have the option of buying stablecoin tether (USDT) using debit cards, credit cards, Apple Pay or Google Pay and then converting it into crypto tokens, Bloomberg reported Tuesday, citing an email to customers.

"With respect to Binance.US users, we are providing a service for those users that want to purchase crypto as well as convert their crypto to fiat and deposit into their US bank account," MoonPay said in an emailed statement, adding that it carries out know-your-customer (KYC) checks on users of the service.

Binance.US had to suspend dollar deposits after losing ties with various banking partners, following legal action by the U.S. Securities and Exchange Commission (SEC) on allegations that it was operating an unregistered securities exchange.

The exchange's 24-hour trading volume is now about $10.5 million according to CoinGecko data, compared with Coinbase's roughly $1.15 billion and Kraken's $500 million. Binance.US, however, operates only in the U.S. while the other two trade worldwide.

Binance.US claims to be independent of Binance, the largest crypto exchange by volume traded, though Binance founder Changpeng "CZ" Zhao also serves as the chairman of Binance.US. Zhao reportedly came close to shutting the U.S. offshoot following the heightened regulatory scrutiny.

Binance.US did not immediately responded to CoinDesk's request for comment.

UPDATE (Aug. 23, 09:59 UTC): Adds statement from MoonPay; removes headline attribution to Bloomberg.

Edited by Sheldon Reback.

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MoonPay Offers Binance.US a Solution to Crypto Payments Suspension

The U.S. exchange's customers now have the option of buying stablecoin USDT using their debit or credit cards, Apple Pay and Google Pay and converting it into crypto tokens.