Mastercard Inc. and Visa Inc. stepped back from their card partnerships with Binance Holdings, distancing themselves from the cryptocurrency platform that’s under threat from regulators worldwide

The development is a sign of how traditional financial institutions are growing wary of working with the company as it faces intense regulatory scrutiny and wider concerns around financial compliance within the crypto industry.

Mastercard will soon no longer offer Binance-branded cards in Latin America and the Middle East, which let customers user their crypto to purchase goods. Mastercard confirmed that it is ending the partnership, with a spokesperson telling CNBC that, from Sept. 22, four pilot Binance co-branded Mastercard card programs the company had with Binance in Argentina, Brazil, Colombia and Bahrain „will no longer be in use.”

„This provides cardholders with a wind-down period to convert any holdings in their Binance wallet,” the Mastercard spokesperson said. „There is no impact on any other crypto card program.”

Binance Customer Support said on twitter: „The Binance Card will no longer be available to users in Latin America and the Middle East. The product, like most debit cards, has been utilized by Binance’s users to pay for basic daily expenses but in this case, the cards are funded with crypto assets.”

„Only a tiny portion of our users (less than 1% of users in the markets mentioned) are impacted by this. Users of this product will have until September 21, 2023, when the card will no longer be available for use. Binance accounts around the world are not affected. Where available, users can also shop with crypto and send crypto using Binance Pay, a contactless, borderless and secure cryptocurrency payment technology designed by Binance.” the company added.

Visa, meanwhile, also moved to distance itself from Binance. The company ended a similar card tie-up with Binance, as it ceased issuing new co-branded cards with the firm in Europe as of July, according to Bloomberg.