Binance has reportedly been set to lose permission to operate in the EU after its licence application submitted to Greece's market regulator is about to be rejected.
Under the EU's Markets in Crypto-Assets Regulation (MiCA), which came into force in December 2023, crypto firms have until the end of June 2026 to obtain a licence to continue servicing clients across the 27-member bloc. According to Reuters, the rejection by Greece's Hellenic Capital Market Commission (HCMC) would prevent Binance from meeting this deadline, forcing the exchange to cease EU operations from 1 July 2026.
MiCA represents a significant regulatory shift in Europe. Under the framework, crypto companies must apply for licences from regulators in individual EU member states, which then serve as a `passport` to operate throughout the entire bloc. This approach centralises oversight of a multi-trillion-dollar industry that regulators have long warned could destabilise financial markets and harm investors if inadequately supervised.
Binance's regulatory position
Binance selected Greece as its regulatory home in Europe. In February 2026, Binance co-CEO Richard Teng cited the country's labour force and security profile as reasons for this choice. A company spokesperson told Reuters that Binance had pursued a MiCA licence whilst working with regulators for 18 months, and believes it has met all requirements.
Moreover, it was also mentioned that HCMC has given no formal indication of the contrary, adding that the HCMC had completed its review of the application and considered it compliant.
However, HCMC declined to comment, citing confidentiality rules. Binance acknowledged the rejection concerns in a post on X, stating it intended to support an orderly process and minimise disruption to customers. The exchange has committed to providing a further update before 30 June 2026.
Regulatory context and implications
The dispute reflects broader tensions between regulators and the crypto industry. The EU has tightened oversight as the Trump administration in the US has moved to ease crypto regulation. For Binance, regulatory uncertainty in Europe coincides with developments elsewhere.
Without an EU licence, Binance cannot legally serve clients in the bloc from 1 July 2026. The rejection would leave the status of Binance's EU-based customers unclear. The company has warned that delays in the MiCA authorisation process risk pushing crypto activity outside the EU regulatory perimeter, undermining the bloc's supervisory goals.
