Binance US Reacts to Bitcoin Cash FUD, Assures Users Their Funds Are Safe

Binance’s U.S. platform has rejected rumors concerning its bitcoin money (BCH) reserves, reassuring prospects that their funds are protected. On Sunday, the alternate restored BCH withdrawals after a short suspension attributed to a technical subject with the automated system managing deposit flows.

Binance US Restores BCH Withdrawals Amid More FUD

The American subsidiary of the world’s largest cryptocurrency alternate, Binance US, addressed what it described as FUD (worry, uncertainty, and doubt) about customers’ bitcoin money holdings. “Binance US maintains 1:1 reserves, which implies for each BCH you maintain on our platform, we keep a BCH in reserve,” the corporate stated.

In assertion posted Tuesday on Twitter, the alternate defined a pause in BCH withdrawals final week citing a technical subject in its deposit sweeping system.

“Under regular circumstances, our techniques based mostly on predetermined thresholds routinely sweep funds from our prospects’ particular person deposit wallets into our platform’s sizzling wallets and finally to our chilly wallets the place property are securely saved. Going into this previous weekend, nevertheless, the sweeps from our prospects’ BCH deposit addresses weren’t occurring routinely,” the platform detailed.

This led to a brief halt of BCH withdrawals till Binance’s tech group carried out a repair to renew regular deposit, sizzling, and chilly pockets flows. “BCH withdrawals on all networks have now been absolutely operational since late Sunday night time,” the alternate stated.

The firm emphasised that “in an surroundings the place FUD spreads like a virus, we need to reiterate that Binance US was established to serve U.S. customers and structured to stick to U.S. laws” and said:

Rest assured that your property stay protected and safe, and no quantity of FUD will ever change that.

has been coping with elevated regulatory pressure around the globe, together with probes and lawsuits within the United States the place it was accused of breaking securities legal guidelines and diverting buyer funds. As a end result, the market share of its U.S. subsidiary declined considerably. Last week, Binance’s founder Changpeng Zhao additionally called recent news of govt departures on the alternate FUD.

Do you assume Binance US will be capable of restore its market positions within the United States? Share your ideas on the topic within the feedback part under.