Bybit Suspends USD as Crisis Spreads

Yet another cryptocurrency exchange has suspended US dollar deposits through bank transfer. Bybit has become the latest exchange to halt deposits via Wire Transfer (SWIFT) and Wire Transfer (For US Bank) citing service outage from its banking partner although the bank name was not mentioned.

USD transaction suspension comes in effect immediately due to the circumstances with the partner according to statement released by Bybit.

The crypto market has experienced difficulties after Silvergate expressed concerns around liquidity issues and troubles operating going forward resulting in several crypto exchanges and companied cutting ties with the bank.

The exchange does encourage users to withdraw USD as soon as possible warning about potential disruption due to “prevailing circumstances” with the banking partner. Bybit clarified that USD assets are safe and secure despite the FUD around Silvergate within the Crypto ecosystem.

Services from the Advcash Wallet for making USD deposits as an alternate solution from Bybit however, users will be able to make withdrawals until March 10, 2023.

According to CEO Ben Zhou of Bybit the exposure amounts to $150 million via investment arm Mirana Asset Management were an amount of $120 million of the funds were collateralized and already liquidated. The CEO assured that all user funds go into separate accounts furthermore stated that Bybit earn products do not use Mirana.