Binance Halts Trading in France and Several EU Countries After Missing MiCA Approval

Highlights:

• French Binance users began moving funds after the exchange failed to secure required MiCA approval.
• Binance restricted trading services in France but said customers can still access and withdraw assets.
• Regulated rivals like Coinhouse are attracting users as Europe sharply reduces authorized crypto firms.

French Binance users have started moving their crypto assets away from the platform after the exchange failed to secure the MiCA approval needed to continue crypto services in France. BFMTV reported on July 5 that some clients chose to withdraw their funds after Binance lost the regulatory clearance required under Europe’s new crypto rules, though several users found the process difficult.

Binance had already warned French clients that Binance France could no longer accept new users and would stop providing crypto-asset services in the country from July 1. The exchange also said users’ assets would remain accessible, meaning clients could still withdraw their funds even after the deadline.

Binance Stops Trading Services in France and Other European Countries After Missing MiCA License

Binance has stopped offering trading services in France and several other European countries from July 1 after failing to obtain a MiCA license in time, according to BFM Business.… pic.twitter.com/CSQ1fphbQs

— Wu Blockchain (@WuBlockchain) July 6, 2026

Binance Services Restricted After MiCA Deadline

The issue comes from the MiCA, short for “Markets in Crypto-Assets,”. The framework requires crypto platforms to obtain approval from an EU regulator before offering services across the bloc. Companies that do not secure approval must wind down unlicensed activities.

Binance first tried to enter Europe through Greece, filing its MiCA application there in January. On June 24, the company pulled that application, days after reports that the Greek regulator was leaning toward rejection. The concerns reportedly centered on Binance’s history around money laundering and a “fit and proper” review of majority owner Changpeng Zhao. Once the application was gone, the exchange notified users in France, Italy, Spain, and Poland that services would stop.

Binance Faces New MiCA Roadblock In Europe

ECB President Christine Lagarde opposed Binance's entry into the EU market, according to sources cited by The Big Whale claim.

Reports suggest Greece may reject Binance's MiCA application despite the exchange stating its filing was… pic.twitter.com/nnpMlDz5Cw

— BSCN (@BSCNews) June 18, 2026

Before the strict deadline, Binance served around 2 million active clients in France alone. Now, standard trading features are completely disabled on the platform. Users can only withdraw their existing funds. Binance assured its customers that their assets remain entirely safe and advised them to move their crypto to a compliant exchange or a secure cold wallet. However, the sudden transition has caused frustration among everyday users who are now locked out of the platform’s core trading services, including leveraged positions.

Reactions among users have been mixed. Julien, who runs CryptoBoost and opened his Binance account in 2017, said he acted early. He transferred his crypto the previous weekend, saying it was too risky for him to keep funds on a platform that had lost its regulatory approval.

Binance Withdrawals Remain Small, but Rivals Are Benefiting

Still, withdrawals remain limited relative to Binance’s overall asset base. BFMTV, citing Cryptoast, reported that Binance saw around $1.6 billion in outflows over one month. However, that figure is still relatively small beside the roughly $114 billion in crypto assets held on the platform. Cryptoast also noted that Binance has called the situation temporary and said it plans to return once it secures a MiCA license.

The shift has created an opening for regulated rivals. Coinhouse, a French crypto exchange approved under MiCA, is among the platforms trying to attract users leaving Binance. Yoann Briant, Secretary General and Director of Compliance and Risk at Coinhouse, told BFMTV that the company is seeing Binance customers open Coinhouse accounts so they can continue trading. He said the change should benefit the European market because approved platforms offer stronger protection for customers.

According to BFMTV, about 5,000 crypto companies previously served European clients, but only around 240 are still authorized to operate. In France, only 24 companies secured European approval.