Binance’s EU services face scrutiny over licensing exemption: Report

EU regulators are currently investigating Binance's use of a MiCA exemption to serve customers in the European Union without proper authorization. The European Securities and Markets Authority (ESMA) and regulators in France, Germany, and Greece are examining Binance's use of reverse solicitation under the Markets in Crypto-Assets Regulation (MiCA).

Binance has withdrawn its Greek MiCA application and stated its commitment to operating in Europe on a compliant basis. The exemption allows non-EU crypto asset service providers to serve customers who approach them on their own initiative, but ESMA's guidelines stress that companies cannot use it to circumvent MiCA requirements.

Binance continues to pursue MiCA authorization and remains committed to operating in Europe, relying on reverse solicitation to serve some EU customers through its Abu Dhabi-regulated entity.

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