- Crypto.com struggles to provide Euro banking services to EEA users amid digital asset crises.
- Crypto.com also previously lost the ability to accept USD deposits.
- The firm allows consumers to purchase cryptocurrency using credit cards.
Due to ongoing digital asset crises, Crypto.com, the Singapore-based cryptocurrency exchange, has faced challenges in providing Euro-denominated banking services to its users in the European Economic Area (EEA).
A spokesperson for Crypto.com told sources that their EUR fiat wallet service provider had recently reduced access to EEA residents via the Single Euro Payments Area (SEPA) system.
The Crypto.com spokesperson added
As SEPA’s intended purpose is to facilitate local borderless transfers between network participants within EEA, the EUR deposits/withdrawals via this service provider are not available to those not residing in the EEA.
It is crucial to remember that Crypto.com previously lost the ability to accept USD deposits, further complicating its ability to offer banking services to its users.
Proponents of the market point out that keeping a fair number of off-ramps for fiat currency on any cryptocurrency exchange is essential to guaranteeing enough liquidity and affects the potential for the values of digital assets to increase. The freezing of US dollar transactions by Binance in January was cited as the cause of a 10% drop in the price of bitcoin by other market observers.
After an analysis, the board of directors of Crypto.com’s U.S.-based banking partner, Metropolitan Commercial Bank, withdrew from the cryptocurrency business in January. As a result, Crypto.com is no longer able to accept USD fiat deposits.
The exchange allegedly continues to make it possible for consumers to purchase cryptocurrency using a credit card. Additionally, according to people familiar with the matter, it began waiving costs for the first week of usage for newly registered users in September 2022.