Lagarde Blocks Binance's Pan-European Crypto License Bid

Binance's attempt to secure a pan-European crypto license from Greece has hit a snag after reports emerged that European Central Bank President Christine Lagarde intervened, urging Greek Prime Minister Kyriakos Mitsotakis not to approve Binance's MiCA application.

The Wall Street Journal reported that Lagarde was concerned about Binance's compliance record and the potential risks of dollar-pegged stablecoins expanding into the European market. In 2023, Binance pleaded guilty to Bank Secrecy Act violations, money transmission violations, and sanctions violations in the United States, and was fined over $4 billion.

Binance had previously announced that it was close to securing authorization by late May and had given a pre-prepared statement describing approval as a 'Major Milestone'. However, before the Greek regulator could make a decision, Binance withdrew its application on June 24, citing the EU transition deadline and the status of its application.