Binance to Halt EU Services After Failing MiCA License Bid

Cryptocurrency giant Binance has announced it will suspend regulated crypto-asset services across multiple European Union countries, including Belgium, effective July 1, 2026, after failing to obtain the necessary license under the EU’s new Markets in Crypto-Assets (MiCA) regulation before the June 30 deadline. The world’s largest cryptocurrency exchange by trading volume notified users via email starting June 24, with the public announcement confirmed on June 25-26.

What Happened

Binance had applied for a MiCA Crypto-Asset Service Provider (CASP) license through Greece’s Hellenic Capital Market Commission (HCMC) in January 2026. Co-CEO Richard Teng publicly expressed confidence in February that approval would follow. However, the company withdrew its application on June 24 amid concerns raised by Greek, Irish, and Latvian regulators about anti-money laundering (AML) compliance and corporate structure.

According to France24, Binance stated it made the decision “after careful consideration of the status and the timeline of the process in Greece, with our users’ interests at the center.” The company added: “We have taken the prudent decision to move forward in a way that gives users more clarity and allows us to continue pursuing a compliant, long-term path in Europe.”

Affected countries include France, Belgium, Poland, Italy, and Spain, among other EU member states. Binance confirmed to AFP that “similar communications have been sent to affected users in other EU markets.” The company has assured clients that “your assets remain safe and secure, and will remain accessible at all times.” However, new spot orders, deposits, account registrations, Earn/staking/Launchpool products, and the Convert feature for buying will be suspended. Withdrawals to external wallets and the ability to close out open positions will remain active.

The MiCA Regulation

MiCA, which entered into force in December 2024, is the European Union’s comprehensive regulatory framework for crypto assets, establishing uniform rules across all 27 member states for investor protections, anti-money laundering measures, and market integrity. An 18-month transitional period under Article 143 allowed previously registered operators to continue serving EU clients while awaiting full authorization. That period ends on June 30, 2026. From July 1, operating without a CASP license becomes unlawful across the EU.

As Euronews reports, of more than 1,200 previously nationally registered crypto providers, only around 210 — approximately 17 percent — had received full CASP authorization by May 2026. Major competitors including Coinbase and Kraken secured authorization in Ireland, OKX and Crypto.com in Malta, and Bitstamp in Luxembourg, allowing them to passport their licenses across the entire EU single market.

A History of Regulatory Turmoil

This suspension is the latest chapter in Binance’s long-running regulatory challenges. In June 2023, Belgium’s Financial Services and Markets Authority (FSMA) ordered Binance to immediately cease offering crypto services in the country for violating regulations. The company had already been effectively shut out of the UK market since 2021.

In November 2023, founder Changpeng Zhao pleaded guilty to violating US anti-money laundering laws, with Binance agreeing to pay a record $4.3 billion penalty. Zhao served a four-month prison sentence in 2024 and was pardoned by US President Donald Trump in October 2025. He still holds approximately 90 percent of Binance shares.

An ongoing criminal investigation in France is also examining suspicions of money laundering linked to drug trafficking and tax fraud — allegations that Binance denies. This investigation could complicate the company’s plans to re-enter the EU market through its French entity.

What’s Next for Binance in Europe

Binance has stated it intends to pursue a MiCA license through France, where its entity Binance France SAS has held a Digital Asset Service Provider (DASP) registration from the French regulator AMF since May 2022. Gillian Lynch, Binance’s head for Europe and the UK, has emphasized that “Binance is not leaving Europe.”

However, even with a swift application, approval would likely take months after July 1, creating a significant gap in EU service availability. The company held approximately $47.5 billion in stablecoins as of February 2026, representing an estimated 65 percent of all stablecoin reserves at centralized exchanges — underscoring the scale of operations now affected.

For Belgian users and other affected EU customers, the immediate priority is clear: withdraw funds or transfer them to a licensed CASP operator. The broader message, however, is that the era of regulatory arbitrage in European crypto markets is ending. Even the industry’s dominant player has learned that size alone does not guarantee compliance under the EU’s new regulatory order.

Reporting by La Libre Belgique and AFP