Leading cryptocurrency exchange Binance has recently revealed that it will no longer service U.S. users on its Binance .com platform, and is moving them to a U.S.-only version created in a partnership with BAM Trading Services. This, an analyst warns, may have triggered an ‘altcoin winter’.
According to analyst Alex Krüger, the 'altcoin winter' could happen because the leading cryptocurrency exchange is going to have to boot U.S. residents from its core platform, accessible through Binance .com over regulatory restrictions.
These same restrictions will force Binance’s U.S.-only platform to have a relatively small number of cryptoassets, compared to its core platform. Traffic from the U.S. is believed to make up 25% to 30% of Binance’s total traffic significantly affecting liquidity.