Binance Temporarily Pauses Withdrawals of Bitcoin (BTC)

Binance Temporarily Pauses Withdrawals of Bitcoin (BTC)

According to Binance, the problem possibly came to light “due to a stuck on-chain transactions.”

On June 13, the CEO of the world’s largest crypto exchange Binance Changpeng Zhao (CZ) issued a statement implying that the company would be temporarily pausing withdrawals of Bitcoin (BTC). CZ tweeted:

However, after an hour, the CEO additionally tweeted that this pause concerns only the BTC network and users are still able to withdraw BTC via other networks such as BEP-20. CZ added:

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“Likely this is going to take a bit longer to fix than my initial estimate. More updates soon. Thanks for your patience and understanding.”

On top of that, Binance also issued an official statement about the situation and said that the problem possibly arose “due to a stuck on-chain transactions,” adding that the team behind the crypto exchange is putting much effort into fixing the problem.

Moreover, users in the community evaluated the situation and suggested that the problem could have been avoided if Binance had integrated the Bitcoin Lightning Network into the platform as other well-known various platforms.

For instance, earlier this year, mobile payment service provider Cash App and crypto broker dubbed Robinhood have already introduced BTC Lightning Network in order to provide users with faster and cheaper transactions.

In addition, the CEO of crypto exchange FTX Sam Bankman-Fried posted a tweet regarding the significant need for L2 protocol integration. He mentioned that developers should bust a gut to carry out such an initiative as fast as possible.

Gyth L. - Crypto Analyst

by Gyth L. - Crypto Analyst, BitDegree