A crypto licensing application submitted in the EU by the world’s largest exchange is expected to be rejected by Greece’s financial regulator, the Hellenic Capital Market Commission (HCMC), according to a Reuters report.
Binance may be unable to continue serving European customers if its Markets in Crypto-Assets (MiCA) authorization in Greece is ultimately denied, Reuters reported on Tuesday.
The report, citing two sources familiar with the matter, said the application—set to meet a month-end approval deadline—is likely to be turned down by the Greek regulator.
Binance said it has been working toward MiCA approval for the past 18 months, including a comprehensive review process with the HCMC in Greece.
“Our understanding is that the HCMC completed its assessment and found the application compliant with MiCA requirements, and that it was also reviewed at ESMA level,” a Binance spokesperson told CoinDesk via email.
The spokesperson added that the HCMC had notified ESMA of its view that the application met compliance standards and that it intended to proceed toward authorization at an upcoming board meeting.
Binance selected Greece as its MiCA jurisdiction after earlier speculation that it might pursue approval in Malta, where it previously maintained offices. The exchange also set up a Greek holding entity as part of the regulatory process, according to local reports last year.
The Hellenic Capital Market Commission has not yet issued a public statement in response to requests for comment.
