Binance crypto exchange has withdrawn its application for Markets in Crypto-Assets Regulation (MiCA) licensing with Hellenic Capital Market Commission (HCMC), Greece, and plans on applying for licensing in some other member state only a few days ahead of the EU deadline. As reported previously by Reuters, Gillian Lynch, Binance’s head of Europe and the UK, confirmed that “Binance isn’t leaving Europe” and is seeking to become authorised in another EU jurisdiction should their Greek application fail. According to Lynch, Binance had contact with other regulators but filed an application only in Greece.
Exchange Looks to Another EU Jurisdiction Before MiCA Deadline
The exchange held negotiations with Ireland, Latvia, and Greece, according to a Reuters report, but faced some resistance due to previous penalties associated with money laundering, international organisations, and what was seen as a culture of risk-taking by the officials. This follows just days ahead of the end of the transitional period for MiCA on July 1. The European Securities and Markets Authority (ESMA) stated that crypto asset service providers who are still unregistered as of the deadline must undertake to “shut down immediately” all EU operations.
In a statement, Binance said it plans to take the necessary steps before July 1 to remain “compliant with applicable requirements. This means some users may be impacted, and we will communicate directly with affected users to provide clear information on next steps,” the exchange further added that, “All user funds remain safe and secure. Our priority is to minimise disruption, provide clarity to users, and continue building a trusted and compliant digital asset ecosystem globally.”
Earlier in June, Binance applied for a license under the EU’s MiCA regulations and recently issued a statement on a report on the potential threat to its licensing operations within the region. The crypto exchange said that HCMC had completed reviewing Binance’s application for compliance with MiCA and found it to be in line with the requirements. The statement was issued after Reuters reported that the licensing application of Binance would be denied by EU regulators
While Binance seems to be struggling with the Lithuania-based crypto exchange, WhiteBIT has also secured MiCA from the Austrian Financial Market Authority (FMA). Alongside them, OpenPayd also obtained authorisation, and the firm is able to provide crypto services within the European Economic Area (EEA) through passporting.
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