Binance Suspends Crypto Trading After Failing to Secure MiCA License in France
Highlights
- Binance fails to secure an EU-wide MiCA license in France.
- The exchange halts crypto trading services and users can only withdraw their crypto assets.
- Binance recorded $1.6 billion in net outflows from Binance over the past month.
The world’s largest crypto exchange Binance has failed to secure an EU-wide MiCA license in France, after facing a roadblock in Greece. As a result, services including crypto trading are halted and users can only withdraw their crypto assets. The crypto exchange has also halted services across several European Union countries.
Binance Fails to Get MiCA License in France, Halts Crypto Trading Services
Binance has stopped offering crypto trading services in France after failing to obtain a MiCA license, BFM Business reported. French users can now only withdraw their crypto assets.
The leading crypto exchange previously served about 2 million users in France, offering services including spot, futures, margin, and custody. The exchange added that user funds remain safe.
As CoinGape reported earlier, Binance was in discussions with France’s finance regulator AMF to secure a MiCA license after ECB President Christine Lagarde expressed opposition to a Greek application just weeks before the July 1 deadline.
Binance co-CEO Richard Teng also claimed earlier that the exchange remains dedicated to securing a MiCA license and remains ready to operate under a “fair, predictable, and genuinely harmonized European framework.”
However, Binance withdrew its MiCA license application in Greece. Also, halting crypto services in EU countries, including France, Poland, Italy, and Spain, and recommending users to withdraw their crypto assets.
Meanwhile, crypto firms are turning to Dubai, as nearly 244 out of 3000 crypto firms have secured the MiCA licenses in the EU bloc.
Massive Withdrawals from the Crypto Exchange
Binance customers in France chose to withdraw their crypto assets from the exchange and not wait for it to secure a license. According to the report, some have faced withdrawal issues during this period.
On-chain data showed almost $1.6 billion in net outflows from Binance over the past month. Notably, the exchange recorded $1.23 billion in withdrawals in a week amid self-custody, with ETH withdrawal transactions hitting a 3-year high of 166,000. The crypto exchange still manages around $114 billion in crypto assets.
Meanwhile, Binance has officially entered the Philippines crypto market. “The Philippines has always been one of the most vibrant crypto communities in the world. Let’s go!” said Binance co-CEO Richard Teng.
BNB price has jumped more than 6% to $583 over the past week amid CoinGape’s another accurate prediction on crypto market recovery. Futures open interest also climbed almost 3% to $876 million over the past 24 hours.
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