HashKey Sever Ties with Binance Amid Mounting Challenges

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Starting from next month, HashKey crypto exchange will no longer support deposits and withdrawals linked to Binance wallets due to a recent declaration. This change, initiated on May 10th for deposits and May 17th for withdrawals, follows significant difficulties faced globally and specifically at Binance. The news was disclosed to the public on April 19th.

Starting on April 19th, HashKey, a licensed digital asset exchange based in Hong Kong, announced that due to changes in their platform policies, they would temporarily halt deposits and withdrawals for users linking their accounts with Binance. Previously, HashKey had only permitted deposits from Binance, making it the sole third-party exchange they accepted.

— Wu Blockchain (@WuBlockchain) April 19, 2024

They didn’t provide explanations for their unexpected move other than labeling it as a “shift in policy.”

Binance is facing more troubles as the Nigerian authorities banned the company in early February due to allegations of “manipulating currency values.” This action not only prevented access to Binance’s website but also resulted in the arrest of one executive, Tigran Gambaryan.

Binance’s leaders admitted facing various challenges with the exchange. Regarding Gambaryan’s arrest, Binance’s head, Richard Teng, expressed the company’s backing for the Nigerian government and shared that they are collaborating with local authorities to resolve this issue.

Perlman, Binance’s COO, mentioned that the authorities dropped the penalties instead opting for a supervision pact with US regulators. This stems from Binance’s past money laundering allegation leading to a $4.3 billion settlement and an outside compliance overseeer for three years.

Whether Binance can emerge stronger from this period of turmoil remains to be seen.

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2024-04-21 03:35