CEFIREGULATION

Binance's expansion in Europe suffers another setback as it cancels Austrian license application; Binance spokesperson: Will return next year

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Binance has withdrawn its registration application with the Austrian Financial Market Authority (FMA). A Binance spokesperson emphasized that they will comply with the MiCA digital asset regulatory framework and re-enter the European Union by the end of next year.

Binance Cancels License Application in Austria

This news was first reported by the financial media Finance Forward, citing sources that Binance established Binance Austria GmbH in the first quarter of last year and applied for a license, but has recently withdrawn its registration application from the Austrian Financial Market Authority (FMA).

The report also mentioned the regulatory challenges Binance has faced recently in the Netherlands, the UK, France, and Belgium:

  • UK: Binance's UK branch has canceled its registration with the Financial Conduct Authority (FCA)

  • Netherlands: Binance announced its exit from the Dutch market, offering only withdrawal services after mid-July

  • Belgium: The Belgian Financial Services and Markets Authority ordered Binance to cease its services, potentially facing criminal penalties

  • France Investigation: Reports claim that Binance is under investigation for money laundering in France, which Zhao Changpeng denies

Binance: Returning to the EU in Compliance with MiCA by the End of Next Year

When approached for a response by Finance Forward, Binance declined to comment on the Austrian matter, but a spokesperson emphasized:

Binance does not rule out the possibility of returning to Europe, with a focus on ensuring full compliance when MiCA officially launches next year.

Earlier this year, the European Parliament and EU member states overwhelmingly passed the comprehensive regulatory framework for digital assets, Markets in Crypto Assets (MiCA), in April and May, expected to be implemented by mid-2024 with full enforcement starting from December 30, next year after a transitional period.

The response from Binance's spokesperson seems to align with the statements made by founder Zhao Changpeng CZ in April this year, where he expressed support for MiCA and emphasized that Binance would adjust its business operations over the next 12-18 months to ensure full compliance.