The Mastercard payment system has restored agreements with Binance regarding payments and deposits after resolving problems with US regulators. CoinDesk writes about this.
Withdrawal and other functions will be available later, the company said.
"After a comprehensive review of the strict controls and processes implemented by Binance, Mastercard has decided to allow platform—related purchases on its network," commented a representative of the exchange.
The partnership was terminated in September 2023 under the onslaught of American supervisory authorities. At that time, Mastercard declined to comment on the decision.
Six months earlier, the CFTC filed a civil lawsuit against Binance. According to the agency, the exchange violated the rules of derivatives trading by operating without proper registration.
Three months later, the SEC filed claims against the firm and its head Changpeng Zhao. The Commission filed a total of 13 charges.
Against the background of regulatory pressure on the company in the United States, the organization faced problems in Europe. Binance has withdrawn applications for licenses in the UK, Austria, Cyprus and announced its withdrawal from the Netherlands.
The Belgian Financial Services and Markets Authority ordered the exchange to cease operations. The media reported on the investigation of the authorities in relation to the branch of the platform in France.
After the reorganization of Signature Bank in March and the liquidation of Silvergate Bank in the same month, the company's division in the United States had difficulties with banking services. The firm held clients' dollar deposits in these institutions.
In May, Binance suspended the replenishment of Australian users' accounts in local currency due to the actions of the service provider. The organization also stopped depositing and withdrawing funds in British pounds as a result of non-cooperation from Paysafe.
The firm announced the complete cessation of Binance service from September. Digital Payment Platform Checkout.com She also announced her withdrawal from cooperation with the exchange.
The latter decided to close the Binance Connect (Bifinity) service, which had been operating since March 2022. The product allowed merchants to accept cryptocurrency payments through Visa and Mastercard systems.
The Binance Card initiative was launched by the exchange as part of a wider distribution of digital assets. It enabled users to pay for goods and services in cryptocurrencies through payment cards.
Recall that in April 2024, the Seattle federal court sentenced Zhao to four months in prison in a case of money laundering and other illegal activities.
In November 2023, CZ pleaded guilty to failing to maintain an effective anti-money laundering program at Binance as head of the company. As part of an agreement with the U.S. Department of Justice, he agreed to pay a $50 million fine and resign as CEO.
For the organization, the settlement amount was $4.3 billion.