Binance announced it will suspend some services for EU users due to pending MiCA license

Binance has notified its users in the European Union that it will suspend certain services starting July 1, as the company has not secured the necessary MiCA license under the EU’s Markets in Crypto-Assets Regulation by the required deadline. The world’s largest cryptocurrency exchange by trading volume has also halted new user registrations within the region.

MiCA timeline and service restrictions

A company spokesperson explained that Binance has informed customers in several EU countries via email that it can no longer accept new registrations and will introduce further service restrictions. It was reported that notifications have already reached users in France, Italy, Poland, and Spain.

According to EU regulations, crypto companies must obtain a MiCA license from at least one member state by July 1 to continue offering services across all 27 EU countries. Firms lacking this license are expected to gradually wind down their operations within the Union.

Mini glossary: MiCA is the EU’s unified regulatory framework for crypto asset service providers and issuers. Its purpose is to harmonize licensing and oversight rules among member states, allowing companies to operate throughout the bloc with a single authorization.

Message regarding user assets

In its communication to customers, Binance emphasized that user assets remain secure and accessible at all times. The company assured that during the process of winding down unauthorized EU activities, customers would continue to have uninterrupted access to their funds.

This reassurance was offered as uncertainty persists over the extent and specifics of the service restrictions. Binance has not yet published full details regarding which products or services may be affected.

Withdrawal of Greek application shifts focus to France

Last Thursday, Binance announced that it had withdrawn its MiCA license application in Greece. The company stressed that this move should not be interpreted as a withdrawal from European markets, and indicated plans to seek authorization from another EU member state.

Sources close to the matter told the Financial Times that Binance’s next target is France. The company reportedly intends to move forward with its EU licensing process through French regulatory authorities.

This latest step from Binance comes as the deadline for securing single-market access in the EU approaches. With only days remaining before the June 30 cutoff, the exchange’s actions point to a temporary tightening of its European operations.

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