In the latest crypto collaboration, payments provider MoonPay is enabling users to fund their Binance.US accounts amid the exchange’s ongoing banking difficulties.
According to a report by Bloomberg on August 23, MoonPay is allowing Binance.US customers to use its services to convert dollars into tether (USDT) stablecoins. Users can then trade these USDT for other cryptocurrencies on the exchange.
Binance.US suspended U.S. dollar deposits back in June after losing access to banking partners due to regulatory pressures. This followed legal action by the Securities and Exchange Commission alleging Binance.US was operating an unregistered securities exchange.
“We follow all the regulatory rules across every single jurisdiction in which we operate, and so we can make it easy for them to top up their wallets.”MoonPay CEO Ivan Soto-Wright about the Binance.US arrangement
The partnership gives Binance.US users a workaround to get money onto the exchange without direct bank transfers. However, it still leaves the platform at a disadvantage compared to competitors like Coinbase and Kraken, which offer more stable banking.
Binance.US has seen its trading volumes fall to around $10 million daily, vastly lower than Kraken’s $500 million and Coinbase’s $1 billion+ per day.
Nonetheless, the ability to use MoonPay’s dollar on-ramps offers a lifeline to Binance.US as it aims to rebuild its banking infrastructure. The exchange continues to strive to cement its position in the lucrative U.S. crypto trading market.