Binance Stops Tether Withdrawals Following Delist Rumor Denial
Binance, the biggest crypto exchange worldwide, stopped allowing USDT withdrawals Monday after it claims there is a surge in the coin’s activity.
The firm’s website states that the ability to withdraw Tether is back. Earlier, users attempting to withdraw saw a message saying that maintenance was being performed and withdrawing was suspended. A customer service representative on Tether’s Telegram channel also reported that the suspension of services was a result of traffic on the USDT network.
In yet another notice, the channel’s representative said early in the day that there was a high amount of traffic and the anticipated date and time that the service will return is not yet known, but that they are attempting to fix the issue as quickly as possible.
Not the First Time
This outage is one of two to hit Binance on the same day. The first occurred early on in the morning, but resumed just after 11:30 UTC time. Only fifteen minutes later, the withdrawal function was suspended yet again.
Earlier, Binance denied rumors claiming they were aiming to delist Tether from the exchange. The company’s CEO even referred to the rumor as “fake news” in a post to Twitter.
The stablecoin’s price declined lower than it has in the last 18 months on Monday, hitting $0.92. It’s move under the dollar comes in contradiction to Tether’s longstanding concept that it will always equal at least 1 US dollar.
Before the suspension occurred, the exchanges BTC-USDT pair reached highs of $7,680, which is considerably higher than the world’s price average.
Binance has the most USDT with over 700 million in its vaults. The Tether company itself only has around 480 million.