(Reuters) -Paysafe Payment Solutions, Binance’s European banking partner, said on Thursday it will cease offering its embedded wallet solution to the U.S. cryptocurrency exchange across the European Economic Area (EEA) from Sept. 25.
“Paysafe and Binance are now working to mutually implement an orderly and fair process to terminate this service over the next few months,” Paysafe said in a email to Reuters.
Binance confirmed the news and said it would change the banking provider for euro deposits and withdrawals through the Single Euro Payments Area (SEPA), but did not reveal any details about the new partner.
“Binance will provide more information in due course,” a company spokesperson said.
Binance typically accesses SEPA via payment intermediaries.
In the meantime, all methods of depositing and withdrawing other fiat currencies as well as buying and selling crypto on Binance.com will remain unaffected, the spokesperson added.
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Paysafe’s decision comes at a time when Binance is facing scrutiny from regulators keen to clamp down on money laundering.
Earlier this month, Binance and its U.S. affiliate entered an agreement with the Securities and Exchange Commission to ensure U.S. customer assets remain within the country until a sweeping lawsuit filed by the regulatory agency is resolved.
Binance tied up with Paysafe last year to allow its users to deposit sterling via Faster Payments, a network that oversees payments and bank account transfers in Britain.
(Reporting by Rishabh Jaiswal in Bengaluru; Additional reporting by Rahat Sandhu, Yana Gaur, Anirudh Saligrama and Jyoti Narayan; editing by Sherry Jacob-Phillips, Jason Neely and Shinjini Ganguli)