Bitcoin Plummets on Binance Australia

Bitcoin is being traded at a significant discount on the Australian branch of the Binance cryptocurrency exchange, with the price falling as much as 21% against the Australian dollar.

The move comes as traders rush to convert their cryptocurrency holdings into Australian dollars before the withdrawal window for local banks closes in a few days.

Binance Australia notified users on May 18 that it is suspending Australian dollar services due to a decision by its third-party payment processor.

Withdrawals using the PayID service will be available until June 1 at 5 p.m. local time, whereas bank transfer deposits have been suspended immediately.

The exchange has also informed its Australian clients that any Australian dollars remaining on the exchange after May 31 will be converted to USDT automatically. Since the announcements, there has been a progressive rush to cash out, causing BTC prices to plummet.

At the time of publication, one BTC costs only 33,750 Australian dollars, equivalent to approximately $21,987, or 21% less than the global spot price.

Those hoping to profit from Bitcoin’s decreased price may be disappointed, however.

Without the ability to deposit Australian dollars into the trading wallet and with steep premiums for converting other crypto assets into Australian dollars, it may be challenging for users to obtain discounted BTC.

Binance has also issued a warning regarding the delisting of multiple crypto trading pairs with Australian dollars on June 1 and advised users to “be mindful of the risks when trading.”

In the meantime, Binance has stated that it is continuing its search for a replacement provider to offer Australian dollar deposits and withdrawals.

Currently, it is still possible to buy and sell cryptocurrency using credit or debit cards, although these rates appear to be market standards.

Last month, the Australian Securities and Investments Commission revoked Binance’s derivatives license, putting it in hot water with Australian regulators.

The U.S. Commodities and Futures Trading Commission is also conducting a massive investigation.

Australian cryptocurrency exchange Swyftx, which relied on Binance for its liquidity needs, previously stated that the closure of Binance’s Australian dollar on- and off-ramps would not impact its operations.