Asia Markets can reveal banks, including New York’s Signature Bank, will no longer process fiat currency transfers to cryptocurrency exchanges with a value of less than US$100,000 via the SWIFT network, effective from February 1, 2023.
The move will thwart cryptocurrency access to potentially thousands of customers.
One of the first crypto giants to notify users of the development this weekend, has been the world’s largest exchange, Binance.
“The banking partner that services your account has advised that they are no longer able to process SWIFT fiat (USD) transaction for individuals of less than $100,000 USD as of February 1, 2023. This is the case for all their crypto exchange clients,” said Binance.
“Please be advised that until we are able to find an alternative solution, you may not be able to use your bank account to buy and sell crypto with USD via SWIFT with a value of less than $100,000 USD.”
UPDATE: Statement from Binance
In a statement to Asia Markets, Binance has confirmed at this stage it will only be Signature Bank customers affected by the move.
Here’s the statement:
“One of our fiat banking partners, Signature Bank, has advised that it will no longer support any of its crypto exchange customers with buying and selling amounts of less than $100,000 USD as of February 1, 2023. This is the case for all of their crypto exchange clients.
“As a result, some individual users many not be able to use SWIFT bank transfers to buy or sell crypto with/for USD for amounts less than 100,000 USD.”
Signature Bank announced last week that it was in the process of reducing its exposure to cryptocurrencies.
Growing concerns about limiting access to crypto
Although SWIFT (an acronym for the Society for Worldwide Interbank Financial Telecommunication) is the world’s most critical financial network – facilitating trillions worth of international money settlements daily – it is a somewhat secretive Belgian-based cooperative.
