Binance Halts EU Services Amid MiCA Licence Deadline

Binance is halting services for European Union clients starting July 1 as it failed to secure a Markets in Crypto-Assets (MiCA) licence before the deadline. The company's decision comes after it withdrew its Greek licence application, citing concerns about money laundering controls and whether former CEO Changpeng Zhao met the required fit and proper standard.

The exchange will instruct customers in several EU markets on how to withdraw their assets from the platform. Binance currently holds local licences in Poland, Italy, Spain, and France but says it will not be granted a MiCA licence by June 30th. The company's co-chief executive Richard Teng stated that they remain committed to securing an EU licence in the coming months.

The move is a significant setback for Binance as it tries to present itself as more aligned with global regulatory standards. The exchange has faced penalties and legal challenges, including a $4.3 billion U.S. penalty for money laundering and an ongoing French investigation. Regulated rivals are already moving to capture business as Binance retreats from the region.