Binance has suspended Bitcoin (BTC) withdrawals from the exchange as it works to resolve a stuck transaction issue.
At the time of publication, the withdrawal of funds has been suspended for more than an hour. This caused panic in the market as many rushed to transfer their bitcoin holdings to cold wallets after Celsius stopped all withdrawals from the platform.
Bitcoin Network Withdrawals Affected on Binance
Binance CEO Changpeng Zhao tweeted on June 13 that the exchange had suspended withdrawals to deal with a stuck Bitcoin transaction that caused the backlog. He noted that this only affected the Bitcoin network and that users can still withdraw their Bitcoins on the Ethereum network or Binance Smart Chain.
However, his initial estimates of how long it would take to resolve the issue turned out to be incorrect, and withdrawals were put on hold as of 11:43 UTC.
The funds are in NArFU.
— CZ 🔶 Binance (@cz_binance) June 13, 2022
In the official statement, Binance stated that the series of transactions was stuck as users paid low transaction fees. This resulted in a delay in the withdrawal of funds from the Bitcoin network, which his team was working on.
“Binance will reopen withdrawals on the Bitcoin (BTC) network once our withdrawal system is stable.”
Binance noted that some pending Bitcoin withdrawal requests from the exchange may be denied once the issue is resolved, and that users will need to resubmit their requests if they are affected by the issue.
The exchange’s announcement was not well received by the crypto community as many accused it of lying about the issue in order to prevent bitcoin from selling off. Thousands of users have slammed the exchange on Twitter, saying it was trying to protect its own liquidity after a similar issue with Celsius caused liquidation in the market.
Neither Binance nor Changpeng Zhao were available for comment at the time of publication.
Credit : cryptoslate.com