Binance Set To Lose Permission To Operate In EU (reuters.com) 26
Binance is expected to lose permission to serve EU customers in July after Greek regulators reportedly decided to reject its MiCA license application. Reuters reports: Under new EU rules, called MiCA, crypto firms have until the end of June to obtain a licence to allow them to keep servicing clients across the bloc. Binance's application, made to Greece's market regulator, is set to be turned down, the people said. European regulators have been attempting to rein in crypto exchanges, which allow people to trade cryptocurrencies such as bitcoin around the globe.
Under MiCA, crypto companies have to apply for licenses from regulators in individual EU countries, which they can use as a "passport" to operate throughout the 27-nation bloc. At stake is oversight of the multi-trillion-dollar crypto industry, which regulators have long warned could destabilize markets and harm investors if not properly supervised. The Greek rejection would mean Binance will not be given the green light to operate in the EU, leaving the fate of Binance's customers based in the bloc uncertain.
Binance posted on X after the Reuters report was published that it intends to "support an orderly process and minimise disruption to our users", without giving further details. A spokesperson for Binance, which has 300 million customers worldwide, earlier said it has been pursuing a MiCA licenze and had worked with regulators for 18 months. Binance believes it has met the requirements to be MiCA authorized, the spokesperson said. It understood that Greece's Hellenic Capital Market Commission had completed its review of the application and it was considered compliant. "HCMC has given no formal indication of the contrary," the spokesperson told Reuters.
Under MiCA, crypto companies have to apply for licenses from regulators in individual EU countries, which they can use as a "passport" to operate throughout the 27-nation bloc. At stake is oversight of the multi-trillion-dollar crypto industry, which regulators have long warned could destabilize markets and harm investors if not properly supervised. The Greek rejection would mean Binance will not be given the green light to operate in the EU, leaving the fate of Binance's customers based in the bloc uncertain.
Binance posted on X after the Reuters report was published that it intends to "support an orderly process and minimise disruption to our users", without giving further details. A spokesperson for Binance, which has 300 million customers worldwide, earlier said it has been pursuing a MiCA licenze and had worked with regulators for 18 months. Binance believes it has met the requirements to be MiCA authorized, the spokesperson said. It understood that Greece's Hellenic Capital Market Commission had completed its review of the application and it was considered compliant. "HCMC has given no formal indication of the contrary," the spokesperson told Reuters.
Better yet (Score:2)
Define crypto as share trading, and tax it accordingly.
Re: Better yet (Score:2)
A share of what? A share of nothing is still nothing.
Re: (Score:1)
Doesn't matter if it's something or nothing.
If it has a valuation (and apparently it does) then it can be taxed based on that value.
Re: (Score:2)
It already is?
Re: (Score:3)
It is not. Definitions matter in the tax code. Many countries treat crypto like currency and leave it untaxed. Some countries (like Germany) have dedicated laws carving out crypto.
Crypto has an undeserved special tax status as an investment vehicle.
Re: (Score:2)
In the United States, it is taxed as property. Also can't currency be taxed in most countries in the case of forex trading?
Re: (Score:2)
Shares get taxed on price, not on value.
Re: (Score:2)
A share of what? A share of nothing is still nothing.
Shares are nothing than paper value either. Bitcoin is a tradable investable asset. The way people treat something should be the way it is considered in law. There's no reason to not tax capital gains on crypto (looking to you Germany who think that any crypto currency held for more than 1 year should be tax exempt perpetuating this fucking stupid "investment" vehicle)
Re: (Score:1)
Oh no, how terrible. People won't be able to move their shitcoins
Re: (Score:2)
Those mining operations were moved to Kazakhstan.
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What are they going to do? Start blocking websites, China-style?
Servers have nothing to do with it, the block chain itself is public and doesn't care where its hosted, nor does the EU.
The EU blocks the monetary flow through anti-money laundering laws from all legitimate sources. And since you can't go up to Binance and pay using physical cash they can effectively be blocked from all business in the EU. Binance is a pretty fucking useless trading platform if I can't send them money or receive money from them.
Re: (Score:2)
Why Greece? (Score:2)
If (as the summary says) you can get certified by any individual EU country and then "passport around" to operate everywhere in Europe ... why would you not go to a country where you had a deal with the regulator and get your certification rubber stamped? Why go to someone who might say "No."
Re:Why Greece? (Score:5, Insightful)
I assume they'd already jurisdiction-shopped and were expecting it to be rubber-stamped in a country that's somewhat more dysfunctional (try setting up a business in Greece some time) than other EU countries which would have given them a harder time over it.
If only those pesky Europeans were like the US, put Kushner on your board of directors, make a donation to the ballroom, and all of your regulatory problems just... go away.
Re: (Score:2)
Then they have chosen the wrong Greece. Cyprus is what they have looked for.
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Cyprus is an unstable nation where arbitrarily half of it does not obey EU rules and regulations. It's generally not a good idea to use a country as a stepping stone into a trading block when one stupid decision by a breakaway group can cause the country to again collapse into war.
Re: (Score:2)
You have no idea how many financial institutions are based in Cyprus. And I seriously doubt that Turkey has the balls to wage war against the EU.
Jesus when you can't even afford your bribes (Score:3)
Re: Jesus when you can't even afford your bribes (Score:2)
If only they paid in Drachmas, like in Zeus: Master of Olympus...
Nice work. (Score:2)
Good job Greece, and good job EU.
Grift (Score:1)
Money Solves All (Score:1)