European Union Set to Reject Binance’s License Application: They Have Until the End of This Month

Binance, the world’s largest cryptocurrency exchange, is reportedly facing the rejection of its application for a license to continue operating in the European Union.

According to two sources familiar with the matter who spoke to Reuters, Binance may not receive the necessary approval under the new European Union crypto asset regulation, MiCA. It is reported that the company’s application to the Greek capital market regulator, the Hellenic Securities and Exchange Commission (HCMC), is expected to be rejected.

Under MiCA regulations, crypto companies need to obtain licenses by the end of June to operate throughout the European Union. If Binance’s application is rejected, the company could lose permission to serve EU customers from the beginning of July.

Binance stated in its announcement that the company has been working constructively with regulators for the past 18 months to obtain a MiCA license and has been conducting a comprehensive application process with the HCMC in Greece.

A Binance spokesperson said the company believes it meets the requirements for authorization under the MiCA. The spokesperson also stated that the HCMC has completed its application review and understands that the application is compliant with the MiCA requirements.

A Binance spokesperson told Reuters, “HCMC has not issued any official notification to the contrary.”

Binance co-CEO Richard Teng stated in February that Greece had an advantage over larger financial centers in becoming the company’s regulatory hub in Europe due to its workforce and security profile.

*This is not investment advice.