Binance Australia Loses Crypto Ramp PayID ‘With Immediate Effect’

Binance’s Australian branch today announced that it is “unable to facilitate PayID deposits” for its users.

The crypto exchange attributed the loss of the onramp “to a decision made by our third-party payment service provider” and says bank transfer withdrawals have also been affected. 

Cuscal is reportedly the service provider in question. Cuscal did not immediately respond to Decrypt’s request for comment. 

“We are working hard to find an alternative provider to continue offering AUD deposits and withdrawals to our users,” the announcement read. 

PayID is a domestic payments organization that lets users give a memorable piece of information to receive payments–like mobile numbers or email addresses–instead of bank account numbers. 

The news comes over a month after the Australian Securities and Investments Commission (ASIC) canceled the exchange’s license for its derivatives business following a request from the exchange itself, which will use the winding down to “pursue a more focused approach.” 

Binance and PayID did not immediately respond to Decrypt’s request for comment.

Choppy waters for Binance

The world’s busiest exchange is currently the subject of investigations by at least four different U.S. government agencies, including the SEC, DOJ, IRS and, most recently, the CFTC. 

Back in March, the leading derivatives regulator, the Commodity Futures Trading Commission (CFTC), filed a lawsuit with a Chicago federal court accusing Binance of unauthorized derivatives trading by offering futures, swaps, and options on leading cryptocurrencies. 

The suit also accuses the exchange of having insufficient anti-money laundering (AML) and know-your-customer (KYC) controls and allegedly evading or helping U.S. clients evade regulators.

At the end of April, reports emerged that Binance CEO Changpeng Zhao has hired lawyers to defend himself against the multiple legal threats.

Around then, bankrupt crypto lender Voyager said Binance.US axed a deal to acquire the company’s assets. Voyager was one of the high-profile casualties of Terra’s collapse last May. 

In a statement to Decrypt at the time, Binance cited “the hostile and uncertain regulatory climate in the United States” as the main reason behind the decision to back out. 

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