Binance said it plans to seek authorization in another EU jurisdiction just days ahead of the July 1 MiCA deadline, as unlicensed crypto firms are expected to wind down activities in the bloc.
[Update 14:47 UTC, June 24: Updates with comments from Binance beginning in first paragraph.]
Crypto exchange Binance is withdrawing its MiCA application with Greece's Hellenic Capital Market Commission (HCMC) and intends to pursue authorization in another member state just days before the deadline for EU licensing.
“When we are ready to announce that Member State, we will do so publicly,” the company said in a statement on Wednesday.
Earlier, Gillian Lynch, Binance’s head of Europe and the United Kingdom, told Reuters that the exchange is "not leaving Europe” and would pursue authorization in another EU jurisdiction if its application in Greece does not move forward.
Lynch said Binance contacted other regulators but submitted a formal application only in Greece. The exchange reportedly held talks with Ireland, Latvia and Greece but encountered resistance over its past money-laundering penalties, international structure and what officials viewed as a risk-taking culture.
The move comes days before the Markets in Crypto-Assets Regulation (MiCA) transitional period ends on July 1, a key deadline for crypto firms seeking to operate across the EU. The European Securities and Markets Authority (ESMA) said on Tuesday that crypto service providers that remain unauthorized by the deadline must take "immediate" steps to wind down their EU activities.
On June 16, Binance pushed back against an earlier Reuters report that EU regulators were preparing to reject its MiCA application, saying Greece's Hellenic Capital Market Commission had reviewed the application and considered it compliant, subject to further review by ESMA. The exchange said at the time that it expected the process to advance toward authorization.
In its 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 representative said. “All user funds remain safe and secure. Our priority is to minimize disruption, provide clarity to users, and continue building a trusted and compliant digital asset ecosystem globally.”
The representative did not provide additional details.
On Monday, CryptoQuant analyst Maartunn told Cointelegraph that euro-denominated pairs account for about 1% of Binance's global spot trading volume, suggesting that a European licensing setback may have a limited effect on the business.
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