On Sunday, Binance announced that it will shut down 39 liquidity mining pools this week after the last review. Due to the presumed inability to pass this assessment, these 39 liquidity pools are expected to be inactive by September 1, 2023..
Liquidity pools stopped by Binance
This decision was made due to the platform’s recent liquidity mining performance. The announcement stated that Binance Liquid Swap will “periodically review exchange-listed liquidity pools to concentrate liquidity for our users and ensure an optimized trading experience, price and slippage.”
As a result of the most recent review, the 39 liquidity pools listed below are expected to be discontinued Friday:
ADA/BNB, ALICE/BTC, APE/BTC, AVA/USDT, AVAX/BNB, BTC/TUSD, CHZ /BNB, CHZ/BTC, CTSI/BNB, DOT/BUSD, ENJ/USDT, FIL/BNB, FOR/ BUSD, GALA/BNB, ICP/BNB, ID /BTC, KDA/USDT, LIT/USDT, MATIC/BNB, NEO/BNB, PAXG/USDT, PEPE/USDT, SANTOS/USDT, SUSHI/BNB, SUSHI/BTC, SXP/BNB, SXP/BTC, THETA/BNB, THETA/BTC, TKO/USDT, TLM/USDT, TRX/BNB, TRX/ETH, WBTC/ETH, XMR/ETH, XMR/USDT, XVS/BTC, XVS/ USDT, ZEN/USDT.
For now, users will not be able to add liquidity to these liquidity pools as of today. However, the liquidity of the liquidity pools mentioned above will still remain accessible to ensure that users get a trading experience.
Users will also still be able to redeem and withdraw their assets from the respective pairs on Binance Spot before the closing date on September 1, 2023. User deposits into the liquidity pool will be calculated based on the current composition of the respective pool and then automatically converted to the Spot user’s wallet.
According to the announcement, the removal of the liquidity pools mentioned above will not impede other trading pairs on Binance Spot and users will still be able to trade other liquidity pools currently available on Binance Spot. Binance liquid swap.
This is the second time Binance has eliminated liquidity pools this month. On August 9, 2023 also Binance announced that the exchange would shut down about 38 liquidity pools on August 18, 2023.
BNB price remains above $215 support | Source: BNBUSD on Tradingview.com
Multiple charges hamper Binance’s business
Amid these developments, crypto exchange Binance continues to face regulatory pressures that appear to be affecting its operations. Firstly, those are Visa and Mastercard slowly cutting ties with Balance as a result of the many regulatory actions taken by the US Securities and Exchange Commission (SEC) against the stock market.
One of the allegations against Binance is that the exchange operates under an unregistered company and has misled investors about the company’s risks.
Also the US Commodity Futures Trading Commission (CFTC) in May filed multiple charges against the exchange for what she calls a “deliberate evasion” of US law.
Among the obstacles the stock market also faces are allegations from the US Department of Justice look at the exchange and is considering charging Binance for fraudulent activity.
On August 23, 2023, Binance announced on X (formerly Twitter) that the exchange’s card, known as the Binance Card, will no longer be available to users in Latin America and the Middle East.
Featured image from The Information, chart from Tradingview.com