As Binance.US has informed its customers, the crypto exchange no longer offers FDIC insurance for their deposits.
The changes have reportedly been included in the platform's updated terms of service.
In a blog post on the company's website on December 24, 2019, which is now deleted, the company said that "all USD deposits are held in pooled custodial accounts at multiple banks that are insured by the FDIC."
However, the exchange's updated terms of service now state:
"Your accounts and digital assets are not eligible for FDIC insurance protections."
The document also states that users will no longer be able to withdraw US dollars without first converting them into stablecoins or cryptocurrencies.
The FTC filed a lawsuit against digital asset broker Voyager Digital and its former CEO Stephen Ehrlich for allegedly misleading customers about the availability of FDIC insurance coverage.
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