According to reports, Binance has relaunched its cryptocurrency purchase service through Mastercard payments, which was previously suspended in August 2023 due to legal reasons. The Securities and Exchange Commission (SEC) and the Commodity Futures Trading Commission (CFTC) have levied multiple charges against the exchange, leading to the temporary halt of these services.

Strengthening Security Measures

A spokesperson for Binance stated that this decision was made after a review of the controls and processes implemented by Binance. Mastercard now allows purchases related to Binance on its network and plans to support other services such as withdrawals later.

Reportedly, Mastercard has confirmed this development but emphasized the importance of ongoing monitoring. It has reviewed the controls and processes implemented by Binance, deciding to support purchases and deposits related to Binance on its network.

Last year, Binance and Mastercard terminated their cryptocurrency card project in multiple countries. This move highlights the growing gap between major financial institutions and the cryptocurrency industry. Countries affected by the suspension include Argentina, Brazil, Colombia, and Bahrain, where cryptocurrency card services allowing the use of crypto assets from Binance for traditional currency transactions are unavailable.

Joint Card Issuance Suspended

Before Mastercard's decision, Visa also halted the issuance of co-branded cards with Binance in Europe. This trend indicates a broader reluctance of traditional financial institutions to collaborate with cryptocurrency companies. A spokesperson for Binance confirmed the news of ceasing four cryptocurrency card programs in the aforementioned countries.

Similarly, Binance halted its cryptocurrency debit card services in Latin America and the Middle East on September 21, 2023. This decision impacted users in regions where Binance Card was previously operational. Binance proposed Binance Pay as an alternative solution to continue supporting cryptocurrency transactions via mobile devices.

Apart from changes in financial services, Binance has also encountered significant regulatory issues. Previously, The Wall Street Journal accused Binance of using sanctioned banks in Russia for peer-to-peer cryptocurrency transfers, further straining Binance's relationship with financial regulatory agencies and traditional banking systems.