Leading crypto exchange Binance has formally withdrawn its Markets in Crypto Assets (MiCA) license application in Greece as it seeks compliance with EU crypto regulations, the firm announced on Wednesday.
“Over many months, Binance worked constructively and in good faith with the HCMC,” it added, noting that because no response was given ahead of the July 1 deadline, it was “moving forward” in a way that benefitted its users.
In the meantime, we will take the necessary steps before 1 July 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.
Firms hoping to compliantly provide crypto services in the European Union must have a MiCA license by the July 1 deadline, or may be forced to cease operations in the region.
Binance’s near-term future in the region remains unknown, but it told users Wednesday that their funds are safe and secure—though some users may be impacted by the withdrawal.
“We are in the process of contacting all of our EU users,” the firm said. “Those communications will explain whether any action is required, what options may be available, any relevant timelines, [and] where to go for support.”
Regardless, the firm maintains that it is committed to Europe long-term, despite the apparent setback it faces by withdrawing the application.
“While we withdrew our application in Greece, Binance remains committed to Europe,” the exchange said. “Europe is an important region for Binance, and our ambition to operate under a clear, fair, and harmonized MiCA framework remains unchanged.”
A representative for Binance did not immediately respond to Decrypt’s request for comment.
