Bitcoin (BTC) is trading at a hefty discount on the Australian branch of crypto exchange Binance, with Bitcoin prices dropping by up to 21% if traded against the Australian dollar.
The move comes as traders rush to cash out their crypto holdings into Australian dollars before the local bank’s withdrawal door closes in a few days.
On May 18, Binance Australia informed users that it was suspending Australian dollar services following the decision of a third-party payment service provider.
Deposits via bank transfer were halted immediately, while PayID withdrawals are set to remain until June 1 at 5pm local time. The exchange has also warned its Australian clients that any Australian dollars remaining on the exchange after May 31 will be automatically converted to USDT.
Since then, the announcements have caused an ascending wave of withdrawals, causing the BTC price to plummet.
At the time of writing, one BTC can only be purchased for AU$33,750, or about $21,987, or 21% less than the global spot rate.
BTC/AUD rate May 30. Source: Binance Australia
However, those hoping to take advantage of cheaper Bitcoin may be disappointed.
Without the ability to deposit Australian dollars into trading wallets and the hefty premium to convert other crypto assets into Australian dollars, it may be difficult for users to obtain BTC at a discount.
AUD/USDT trading pair. Source: Binance Australia
Binance has also warned about the delisting of some Australian dollar crypto-trading pairs on June 1, and told users to “pay attention to the risks of trading.”
Meanwhile, Binance said it is continuing to look for an alternative provider to continue offering Australian dollar deposits and withdrawals. For now, the ability to buy and sell cryptocurrencies with a credit or debit card is still available, although these rates appear to be market-appropriate.