Binance Faces EU Scrutiny Over MiCA Exemption and Licensing Compliance

Binance is facing scrutiny from European regulators over its use of MiCA's reverse solicitation exemption. According to the Financial Times, ESMA and the regulators in France, Germany, and Greece are looking at the exchange.

The exemption allows companies to provide limited services if customers come to a company outside the European Union, but it is not meant for marketing or promotion in Europe.

Binance has reportedly been asked for data by regulators in France, Germany, and Greece. Their review is on the exchange's current service model and whether it fulfills the requirements of MiCA.