10 Reasons Your Binance Withdrawal Is Rejected (With Solutions)

Binance is the biggest cryptocurrency exchange in the world. That said, sometimes, investors aren't able to withdraw their assets from their accounts with a rejection notice. The reasons can vary but can become very confusing for the investor who is left hanging. These are the most common explanations (and solutions) if a Binance withdrawal request has failed or is rejected:

1. Binance account is not verified
2. Negative account balance
3. Withdrawing below the minimum amount
4. Withdrawing above the daily withdrawal limit
5. Changed password or 2FA
6. Violating Binance policies
7. Schedule wallet maintenance
8. Invalid wallet address
9. Blockchain network is busy
10. Invalid memo or tag

Explanation of Why Binance Withdrawals Can Fail

Reason 1: The account is not verified

The most common reason why Binance withdrawals can fail is a lack of account verification. This reason is most applicable for individuals who want to cash out from Binance and withdraw money to a bank account.

To withdraw fiat currency from Binance, there is a mandatory Know-Your-Customer (KYC) process. The exact requirements to complete this stage can vary in different countries but follow the same principles. That is, to ensure the account matches the real person. If a user has not fully submitted their details, fiat withdrawals can be restricted or rejected. However, sometimes database issues can cause some user details to be deleted – which can also halt the withdrawals.

Reason 2: Account balance is negative

Another common reason for a failed withdrawal request on Binance is due to having a negative account balance. In such instances, users receive an alert that their account has been suspended due to risk management. Even when the user's payment provider attempts to pull the funds from the bank account, a negative account balance can still occur due to the following reasons:

• The Banking Institution has revoked the authorized deposit. Binance has started to obtain licenses in many countries – coming under the purview of the authorities, such as banking institutions. If the banking institution puts a stop-payment tag on the account, every going through that account is flagged as suspicious. It also happens if someone else has filed a dispute over the Binance account.
• Funds are not fully available for withdrawal. If the account does not have sufficient funds, a user would be unable to withdraw from their Binance portfolios.

Reason 3: Withdrawing below the threshold amount

Binance has put in place a minimum limit on the withdrawal amounts per cryptocurrency. For example, there is a minimum withdrawal amount for Bitcoin of 0.001 BTC. Likewise, for Ethereum, the minimum withdrawal limit is 0.0098 ETH using the ERC-20 blockchain network. Withdrawing below these threshold amounts for each asset will result in a failed withdrawal from Binance.

Reason 4: Withdrawing above the daily limit

In addition to minimum limits on withdrawals, Binance also limits how much investors can withdraw from their portfolios in 24 hours. Like the minimum withdrawal limits, this too varies for different cryptocurrencies. Another factor that sets the limit is the account KYC verification level.

There are essentially 3 different verification levels for individuals which are “Unverified”, “Verified” and “Verified Plus.” The withdrawal limits are as follows:

KYC Level	Max Fiat Withdrawal Per Day	Max Crypto Withdrawal Per Day
Unverified	Not allowed	0.06 BTC
Verified	$50,000	8,000,000 BUSD
Verified Plus	$2,000,000	8,000,000 BUSD

For example, an unverified has a maximum withdrawal limit of 0.06 BTC within 24 hours. This is the equivalent of $1,200 at current prices. Therefore, withdrawing over this amount with result in a rejected withdrawal request. Similarly, attempting to withdraw more than $50,000 within 24 hours will also be rejected for “Verified” accounts.

Reason 5: Changing password or 2FA

If an individual has changed the personal information within the Binance account, those changes can take some time to full effect. For example, Binance implements additional protection measures by temporarily suspending withdrawals for 24 or 48 hours when changing the account password. While the new password can take 1 or 2 hours to take effect, any withdrawals from Binance will be rejected for 24 – 48 hours.

Another reason that can reject withdrawals is making changes to the account's two-factor authentication preferences. They must wait a period of time for the new information to be updated before they can withdraw from Binance.

Reason 6: Violating Binance policies

Whenever a user creates an account on Binance, they agree to the Terms of Use of the cryptocurrency exchange. Violating these terms can cause the account to be frozen without prior notice – disabling the user from withdrawing their crypto assets from the platform.

Here is a list of policy violations that Binance warns of on the official website:

• Using False Information: Providing false information to Binance during the sign-up stage is grounds for account termination. It is one of the reasons why Binance can take up to 10 days to verify some accounts. Binance has grown warier about false information over the last few months due to the rise of crypto scams and exchange hacks – a large percentage of which is due to false information.
• Unlawfully using the platform: Using the platform for anything other than trading, depositing, earning interest, providing liquidity, buying NFTs, or engaging in certain crypto offerings is considered an unlawful use of the platform. Binance has taken more stringent measures after a Reuters article painted Binance as a den of fraudsters, drug traffickers, and hackers. While Binance also retorted against the article, it has ramped up its licensing procedures.
• Facilitating viruses: If any user shares spam-filled on the platform or does anything that causes other investors' systems to be harmed, Binance is obligated to halt the withdrawals of that user upon receiving a complaint about it.
• Using an anonymizing proxy: Binance, despite being the biggest cryptocurrency exchange, isn't available in all countries. That leads some users to try to access the website using an anonymizing proxy and some to use VPN. Binance has issued warnings to users attempting to access the platform using a VPN and anonymizing proxy.
• Any suspicious activity: If an investor does anything that sets red flags on the platform, Binance is obligated to block that user immediately. It causes withdrawals to be halted.

Reason 7: Scheduled wallet maintenance

Binance schedules planned maintenance of wallets to make necessary changes or perform administration duties. During these periods, withdrawals are not permitted and will be rejected. Binance does provide early notification of the designated wallets that will be temporarily suspended for maintenance.

Reason 8: Invalid wallet address

A cryptocurrency address determines the location of the wallet address on the blockchain. The withdrawal process will fail if the user has entered an incorrect address. That is, Binance will display an “Invalid address” error if the entered address does not match the blockchain network of the destination wallet.

Reason 9: Blockchain network is congested

Another major reason that can cause an unsuccessful Binance withdrawal is sudden network congestion. Concurrent transactions and slow blockchains are the culprits behind this issue. When this occurs, users will be presented with a “network busy” message on Binance. This has been an issue with Bitcoin in particular as the Bitcoin transaction speed is slow in relation to other coins.

Reason 10: Invalid memo

Binance and other cryptocurrency exchanges use a “Tag” or “Memo”. It is an additional feature to the address used to identify the transaction recipient in addition to the wallet address. If the user has entered the wrong memo, a “The memo is not valid” message will be shown to the user. Entering the wrong or incorrect memo can result in the loss of funds after the withdrawal procedure.