Binance has taken the decision to remove color-coded payment options from its peer-to-peer (P2P) service. The move comes after facing severe criticism for allegedly employing these code words to represent sanctioned Russian banks.
The controversy ignited on August 22, when a report by The Wall Street Journal disclosed that Binance had listed sanctioned Russian banks, including Tinkoff and Rosbank, as available transfer methods. This revelation immediately sparked concerns that Binance could potentially be infringing sanctions by promoting these banks as legitimate payment alternatives.
Subsequent to the Wall Street Journal report, multiple Russian news outlets on August 24 reported that Binance had indeed removed these banks from its list of payment methods. However, a new twist emerged as the banks reappeared on the platform, this time disguised as color-coded terms – “yellow” for Tinkoff and “green” for Rosbank.
Binance Takes Immediate Action
Just a day later, on August 25, The Wall Street Journal published an update, indicating that the sanctioned banks had been entirely removed from the list. A Binance spokesperson, responding to the matter, revealed that the removal was initiated after the exchange discovered instances of account holders exploiting the service to evade sanctions. The spokesperson stated, “We consistently enhance our systems to align with both local and global regulatory standards. When discrepancies are identified, we are swift in addressing and rectifying them.”
Simultaneously, Binance took swift action to remove the “yellow” and “green” payment methods from its offerings. As of now, sixteen alternative payment methods for Russian ruble to crypto conversions still remain available on the platform. Notable options include Raiffeisenbank, Russian Standard Bank, Payeer, and AdvCash, among others. However, it is noteworthy that Tinkoff and Rosbank, along with their color-coded counterparts, have been completely eliminated from the platform’s offerings.
