How will Binance’s struggles to find banking partner in the U.S. impact BNB

ambcrypto.com:

Binance.US, the American branch of the popular Binance Exchange, was facing a significant roadblock in its operations as it struggled to secure a banking partner. This latest setback adds to a series of recent obstacles the exchange has encountered.

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According to an 8 April report from Wall Street Journal, Binance.US has been encountering difficulties finding a banking partner to handle its clients’ funds. The exchange has been struggling to establish a new bank partner to facilitate the transfer of fiat currency in and out of its platform for its clients.

The recent collapse of Silvergate and Signature Bank has left the exchange relying on intermediary banks to store funds on its behalf.

The unavailability of a direct banking partner has impacted Binance.US customers. In a recent update, the exchange stated it was shifting to new banking and payment service providers over the coming weeks. However, it also mentioned that the transition would temporarily impact some of its U.S. dollar deposit services.

As reported by the Wall Street Journal, Binance.US has been using the services of Prime Trust LLC, a FinTech firm specializing in cryptocurrency services, to store its customers’ cash. According to a spokeswoman from Prime Trust, any funds received from Binance.US clients are kept in the company’s network of banking partners.

Binance Holdings Ltd., the global affiliate of Binance US, was recently sued by the Commodity Futures Trading Commission. The suit was for allegedly violating regulations and rules designed to prevent financial crimes in the U.S.

Although Binance denied any wrongdoing, this legal action may have made securing banking partners more challenging for