Lagarde Blocks Binance Greek License Bid Over US Plea and Stablecoin Fears

Binance's bid to obtain a crypto license in Greece through the Markets in Crypto-Assets (MiCA) framework has been put on hold after European Central Bank (ECB) President Christine Lagarde personally urged Greek Prime Minister Kyriakos Mitsotakis not to approve the application.

The Wall Street Journal reported that Lagarde raised concerns about Binance's 2023 guilty plea in the United States, where the exchange settled for over $4 billion after violating money transmitting and sanctions laws. The ECB president also worried that approving Binance could increase the use of U.S. dollar stablecoins across Europe.

Binance had drafted a release describing its potential approval as a 'Major Milestone' but withdrew its application on June 24, before regulators issued a formal decision. The company said it would pursue authorization in another EU country instead.