Sources: Binance is still operating in the EU, months after not getting a MiCA license, using workarounds to onboard customers and routing trading via Abu Dhabi
Context & Ripple Effects
Binance began 2026 by seeking a Greek MiCA authorization, then said it would make a fresh push for EU permission after Greece rejected that application ahead of the June 30 deadline. The latest report, based on sources, alleges that the exchange is retaining some EU activity without that license by changing how customers are onboarded and where trades are routed.
First-order effects
- EU customers covered by the reported workaround may be onboarded through a different structure and have their trades routed via Abu Dhabi rather than through a MiCA-licensed Binance operation.
- Binance gains continuity for part of its EU business while its stated effort to secure permission after the Greek MiCA application remains unresolved.
Second-order effects
- The reported Abu Dhabi routing makes the practical boundary of EU supervision a central issue for EU authorities assessing Binance's access to customers.
- MiCA-authorized crypto platforms face a competitive asymmetry if unlicensed access routes can preserve customer service while they bear the costs of authorization.
Third-order effects
- If the reported model persists, MiCA enforcement will turn increasingly on whether regulators can apply customer-location and onboarding rules to exchange structures spread across jurisdictions.
- The episode points to a wider crypto-market split between firms operating through local authorization and firms testing the limits of cross-border access arrangements.
The trend: Crypto regulation is shifting competition from simply obtaining a local license to controlling the legal and operational pathways through which customers are served.