Supporting the imminent Ethereum Merge update, the Binance exchange stated in a blog post that it would halt Ethereum and ERC-20 token withdrawals and deposits on September 6 and 15.
The Binance team has outlined two possible outcomes for the Ethereum (ETH) Merge: No additional token is generated in the first case. Afterward, Binance will speedily reenable ETH and ERC-20 token deposits and withdrawals.
In the second, the chain divides into two rival chains, and a new token is issued. The Ethereum PoS network token will be denoted with the “ETH.”
While a hard fork might create a whole new coin, Binance has taken the following precautions to protect user money and mitigate the risks associated with trading during this period of potential market volatility.
The split token will be subject to the same thorough listing review procedure that Binance employs for all other coins and tokens to ensure the safety of its users.
Binance Would Cease Some of Its Services
Due to the upgrades required for the Bellatrix consensus layer and the Paris execution layer, Binance will temporarily halt ETH and ERC-20 token deposits and withdrawals on 2022-09-06 at 11:00 (UTC) and 2022-09-15 at 00:00 (UTC), respectively.
The team will also halt BETH withdrawals and deposits. BETH is a tokenized asset representing your staked ETH via Binance.
Staking on ETH 2.0 will generally restart after the Merge. All and sundry should be aware that the next ETH mainnet update is required before they may withdraw any staked ETH.
Furthermore, Binance Pool will remove the ETH mining service from its website. Users of the ETH Pool can transfer their hash rate to the ETC Pool.
Not All Binance Services Will Be On Halt
Some Binance services have been temporarily paused in preparation for the upcoming merger. However, this is not the case for all of them. ETH trading on Binance Convert, Binance Card/Pay, Binance Gift Card/Code, ETH Dual Investment, ETH liquidity pools, ETH Flexible Savings, and ETHUSDT Options trading will all continue as usual.
In addition, Spot trading for ETH and ERC-20 tokens and trading in the ETHUP/USDT and ETHDOWN/USDT trading pairs will continue as well.
The snapshot of customers’ ETH balances just before the Paris execution layer update will not include any ETH that has not yet been credited to accounts, ETH that is being withheld for withdrawal, or ETH that is being utilized as loan collateral.
Spot, Funding, Margin, Earn wallet, and sub-account ETH net balances will be added to the relevant master account’s ETH total. When the hard fork occurs, all newly created tokens will also be added to the master accounts.
There will be a follow-up statement with details on the likely ETH chain split and when deposits and withdrawals might resume.
