Binance tells EU clients to withdraw funds before July 1 as MiCA deadline hits

Binance, the world’s largest crypto exchange by trading volume, will stop serving customers in European Union countries from July 1 because it does not have a MiCA license. For high-risk payment teams, the useful part is not the exchange drama itself, but the mechanics: deposits shut off, buying stops, and withdrawals remain open.

1. Binance sent European customers a notice urging them to withdraw assets before July 1. From that date, its local entity will stop accepting new clients and will disable top-ups in both euros and cryptocurrencies.
2. Users will also be unable to place new spot buy orders. Conversion will remain available only for selling cryptoassets, which means customers can close positions and convert funds into euros. Crypto withdrawals to external wallets and other exchanges will stay available without restrictions, according to Binance.
3. Binance co-founder Changpeng Zhao said the company spent 18 months preparing an application for a MiCA license in Greece. He said the regulator reviewed the documents and initially raised no major objections, but ultimately rejected the application.
4. After withdrawing the Greek application, Binance decided to pursue a MiCA license through France, Financial Times reported. Binance has been registered in France since 2022 as a digital asset service provider (DASP/PSAN), which allowed it to apply under MiCA requirements. According to the report, the review will take several months, so Binance will not obtain the license before July 1.
5. MiCA was introduced in the European Union gradually. On July 1, 2026, the transition period ends, after which cryptoasset service providers must hold a license to continue operating in the EU. A license from one EU country is valid across the bloc. Gemini received a license in Malta, Kraken in Ireland, and Bitvavo in the Netherlands.

The European Central Bank (ECB) has already approved the European Commission’s proposal to transfer supervision of crypto exchanges and virtual asset service providers (VASP) to the European Securities and Markets Authority (ESMA) instead of national regulators. For payment providers, that is the real backdrop here: one license may still open the whole EU, but the supervisory center of gravity is moving.