Lagarde Blocks Binance EU License, Citing Stablecoin Concerns
Binance's bid for an EU-wide crypto license in Greece stalled after European Central Bank President Christine Lagarde personally intervened, according to a Wall Street Journal report.
Lagarde's intervention came despite the ECB holding no formal licensing authority under the bloc's Markets in Crypto-Assets regulation, known as MiCA.
The company had filed its Greek application in January 2023 and was told it was complete by late May. However, Binance withdrew its application in June after being informed that Lagarde wanted the license decision delayed until the European Securities and Markets Authority takes over licensing for crypto exchanges.
Lagarde's concern centered on Binance's scale potentially deepening the use of dollar-based stablecoins in the eurozone, undermining the ECB's digital euro project and euro-denominated alternatives.