Some of their users were hacked, and Binanced handled it so well as to recover the stolen funds and even freeze the hackers funds.
And no, withdrawals are not on hold, I have withdrawn today with no issue.
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the withdraw fees for binance are pretty high.
Depends on what you are withdrawing. Some coins will have high fees by their nature. You can withdraw NEO from Binance for free. Buy 1 NEO, withdraw 1 NEO, receive 1 NEO.