Binance Announces Support for the Upcoming Shapella Upgrade of Ethereum

Binance, the top crypto exchange company, has announced that it will support Ethereum’s upcoming Shapella upgrade. On the official Twitter channel, the crypto exchange noted that the latest Ethereum upgrade is a combination of Shanghai and Capella upgrades. As per the platform, the respective upgrade is scheduled to take place on the 12th of the next month. Binance had earlier announced that it will back ETH 2.0 staking withdrawals after the completion of the upgrade.

While providing support for the upgrade, the crypto exchange mentioned that the withdrawals and deposits for the ERC-20 tokens and ETH will witness a temporary suspension. This will occur on the day of the exclusive upgrade’s launch on the network of Ethereum. The purpose of this provisional suspension is to avoid any issues in the procedure of the upgrade’s instalment. Following the effective launch of the upgrade, the platform will restart the respective services.

In addition to this, the exchange will notify its consumers when the above-mentioned services will be reopened. Along with this, the firm pointed out that the network upgrade will not affect the trading of the ERC-20-based and ETH tokens. The crypto exchange asserted that its management will attempt to administer the entirety of the technical requirements. In this respect, the customers having the aforementioned tokens in their possession on Binance will not need to be concerned about the technical complexities.

In this regard, the platform will also make another significant development. It will enhance the deposits’ least unlock count into the network of Ethereum. This amount will be increased to 64 blocks. At the moment, the minimum count stands at 12 blocks. On the other hand, Binance saw ETH-related withdrawals of up to $627M in the recent 24 hours.

This was witnessed following the submission of a lawsuit by the Commodities Futures Trading Commission to confront the crypto exchange. In the lawsuit filing, the regulatory agency has accused Binance of having infringed the derivatives-related rules. The crypto exchange company kept assets of nearly $64B worth in its open wallets, as mentioned in the data provided by Nansen.

During the recent 7 days, the exchange saw net outflows of approximately $2.1B worth in the ETH tokens and ETH-related assets. Nonetheless, the respective outflows are much decreased as compared with what Binance witnessed back in December. That was the time after the crash of the notorious crypto exchange FTX. At that time, Binance saw daily withdrawals of almost $3B, as mentioned by Nansen.