Binance Suspends Solana Withdrawals Amid High Transaction Volume
Binance, the world’s largest cryptocurrency exchange, has temporarily suspended withdrawals to the Solana network due to an “increased volume of transactions.”
According to a Binance announcement released on March 6, the exchange expects to implement a solution and resume withdrawals starting on March 9.
According to the press release on March 6, Binance announced that,
“Withdrawals on the Solana (SOL) network have been intermittently suspended since 2024-03-04 due to the increased volume of transactions on the network.”
The exchange stated that it has identified “some areas for optimization” and is working on rectifying the situation, with a scheduled implementation of a “long-term solution” on March 9 at 18:00 (UTC).
Solana’s status page indicated that the last time the network faced difficulties was on February 6, during a five-hour outage . However, Solana has not made any public statements regarding network stability in response to Binance’s decision to suspend withdrawals. It remains unclear if Binance’s move is directly related to the network’s stability.
Coinciding with Binance’s decision, Solana’s SOL token experienced a surge in daily trading volume, reaching $9.5 billion, reminiscent of figures last seen in September 2021 when SOL was trading at $209.
Meanwhile, Solana’s native SOL token experienced a slight decline of 3.8% in the 24 hours leading up to 10:40 am UTC, trading at $127.81. However, the token saw a significant increase of over 14.5% on the weekly chart at the time of writing.
Binance’s notice of increased trading volumes comes shortly after Bitcoin reached a new all-time high above $69,200 on March 5. Additionally, Bitcoin briefly surpassed the market cap of silver, becoming the
