Under the MiCA framework, companies operating in the EU only have until the end of June to gain approval to offer services to residents.
Should Binance’s application with HCMC be rejected, the exchange would likely be unable to legally operate in the EU starting on July 1
Related: Robinhood cuts 10% of workforce as Tenev touts business strength A Binance spokesperson told Cointelegraph that the company expected that ESMA “intended to progress the licence and move to authorise at an upcoming board meeting.” The company did not immediately respond to an additional request for clarification on the Reuters report, but added in the blog post it would update users by June 30, the deadline for the MiCA application. The crypto exchange applied for its MiCA licensing in Greece under HCMC in January. Several regulators, including those in Germany and the Netherlands, have already approved licenses for crypto companies seeking to be compliant under MiCA with the deadline approaching in a matter of weeks.
In 2023, Binance reached an agreement with US authorities in which then-CEO Changpeng Zhao stepped down and pleaded guilty to one felony charge, and the company agreed to a $4.3 billion settlement with the US Treasury Department and Department of Justice and to follow a monitoring program. Amid the US-Israel war with Iran and reports that the exchange facilitated $1 billion to sanctioned entities, US lawmakers have been pressing for answers regarding Binance’s compliance. Magazine: Bitcoin, the ‘canary in the coal mine,’ XRP transaction demand falls 91.5%: Market Moves More on the subject