Binance canceled the application for a license in Germany to submit it again
Date: 2023-07-28 Author: Karina Ziganova Categories: BUSINESS, IN WORLD
Cryptocurrency exchange Binance has withdrawn its application for a license in Germany after financial regulator BaFin denied a license to store cryptocurrency. It is reported by Reuters.
"Binance confirms that it has withdrawn its application to BaFin. The situation both in the global market and in regulation has changed significantly," said a company spokesman.
A Binance spokesman said he was ready to work with regulators and continue negotiations with the German authorities. He added that Binance still intends to apply for appropriate licensing in Germany, but it is important that it accurately "reflects these changes."
Waiver of BaFin
Last month, BaFin denied the exchange a license to store cryptocurrency. However, the agency refused to provide details due to confidentiality. Without a license, the company lost the opportunity to advertise its services.
Commenting on the regulator's decision, Binance said it would not share details of conversations with regulators. However, they assured that they will continue to work on compliance with the requirements of BaFin, calling it a "detailed and continuous process."
Binance is being expelled from Europe
In addition to Germany, the crypto exchange has faced trouble in a number of European countries. In particular, the exchange revoked the license in Cyprus without explanation. Then the company announced that they were leaving the Dutch market. There, the exchange was unable to obtain a virtual asset service provider (VASP) license from the local regulator and curtailed its activities.
Binance's activities have also come under scrutiny from regulators in Ireland and Malta. Sources claim that the subsidiaries of the crypto exchange were engaged in illegal activities. Firms could forge accounts and transactions in multiple EU jurisdictions and mix clients' money from different countries to confuse regulators and tax authorities.
