Binance pulls services from European clients ahead of regulatory deadline

Binance told its customers in the European Union this week that it will cease operations in the bloc after failing to secure authorisation from EU regulators, according to CNBC citing the Financial Times. Customers in Italy, Spain, Poland and France received emails instructing them how to withdraw funds before the July 1 deadline. The company said it will pursue authorisation in another EU member state, though any approval is likely to come well after the cutoff date.

The withdrawal represents a significant retreat by one of the world's largest cryptocurrency exchanges from a major market. Binance's exit underscores the tension between the crypto industry and European regulators, who have imposed strict requirements under the Markets in Crypto-Assets Regulation (MiCA). Italy, as a eurozone member and an EU financial centre, is particularly affected by the loss of trading access for its retail and institutional investors.