Mastercard Inc. and Visa Inc. are reviewing their relationships with Binance card Holdings as the latter deals with regulatory challenges in numerous countries.
Mastercard Inc. and Visa Inc. are reviewing their relationships with Binance card Holdings (Photo: LinkedIn)
Binance Card Holder Brace Yourselves!
These payment behemoths had previously been eager to partner with Binance card, a well-known cryptocurrency platform, but now they are being more circumspect, according to Bloomberg.
Financial regulators from all over the world have expressed interest in Binance card’s operations. The platform and its CEO, Changpeng “CZ” Zhao, have been in the news for a number of issues over the past year.
U.S. SEC for suspected violations of securities regulations and the Commodity Futures Trading Commission about access rights for U.S. users. According to a representative of Binance, Visa made the decision to stop issuing new co-branded cards with Binance card in Europe beginning in July as a result of these difficulties.
Binance Card as Promotion to Cryptocurrency Usage
Mastercard, on the other hand, intends to completely cut its relations with Binance card in September. Mastercard’s decision is still secret, while Visa has been unable to be reached for any information.
These developments portend potential setbacks for Binance’s goals of establishing itself more firmly in the traditional financial sphere. Binance card encountered limitations in the Australian and American financial systems earlier this year.
The Binance Card was designed to promote the usage of cryptocurrencies for regular expenses. The Binance Visa Card concept was introduced in September 2020. After a year, the company made the decision to stop offering the Binance Connect service, which allowed businesses to take cryptocurrencies via Mastercard and Visa. In September their European financial ally is likely to quit offering assistance services.
