- Binance has stopped offering crypto services in France after failing to secure a MiCA license before the EU’s June 30, 2026 deadline.
- French Binance users are reporting withdrawal delays, KYC verification issues, and migration challenges while moving their crypto assets.
- ESMA has advised users to transfer funds to MiCA-licensed Crypto-Asset Service Providers (CASPs) or self-custody wallets for better consumer protection.
- Licensed exchanges such as Coinbase, Kraken, OKX, Bitpanda, and Bybit EU are attracting users leaving Binance as Europe’s crypto market adapts to MiCA regulations.
Binance users in France are finding unanticipated problems as they try to shift their crypto assets after the exchange lost its right to operate in France under the European Union’s Markets in Crypto-Assets (MiCA) regulation. With reports of withdrawal delays, problems with KYC verification, and doubts about safe money transfers, the regulatory change has left many consumers perplexed.
The problems began after Binance, the world’s largest cryptocurrency exchange by trading volume, informed its French users that its local entity would stop providing crypto services from July 1, 2026.
The decision came after the company failed to secure a license under the European Union’s Markets in Crypto-Assets (MiCA) framework before the June 30 deadline. Although users can still withdraw their crypto assets, many have reported that the process has become slower and more complicated than expected.
Prior to MiCA, Binance operated in France via a PSAN (Prestataire de Services sur Actifs Numériques) registration, which it obtained in 2022. The new MiCA framework, however, compels crypto exchanges to seek a new license in order to continue serving customers in the European Union.
French Binance Users Face KYC Delays & Withdrawal Problems
Binance attempted to obtain its MiCA license through Greece earlier this year. However, since the indications indicated the regulator was unlikely to approve the application, the exchange withdrew it. This came into an accepted European operating license when the new European rules came into effect.
French people are currently looking for alternative platforms to store and exchange their digital assets. Many consumers have noticed difficulties in completing identification verification on new exchanges, while others have had problems with stablecoin transfers and shifting cash to self-custody wallets. Several users are still unclear about how to access assets that are locked in lending services, Earn goods, or staking.
Binance has guaranteed its clients that their cryptocurrency assets are safe and accessible. Users who have open margin positions, Binance loans, or Flexible loans, however, have been advised by the exchange to close them by October 1, 2026. Positions that remain open beyond the deadline could be automatically closed or liquidated.
ESMA Urges Binance Users To Move Crypto To Licensed MiCA Exchanges
The European Securities and Markets Authority (ESMA) has also encouraged users of unregulated crypto platforms to relocate their funds to licensed Crypto-Asset Service Providers (CASPs) or personal wallets. According to the authority, under MiCA, licensed platforms provide more robust consumer protection.
As they increase their footprint in Europe, a number of licensed exchanges, such as Coinbase, Kraken, OKX, Bitpanda, and Bybit EU, are already accepting users who are leaving Binance.
The European market has not given up on the European market. The business says it is still dedicated to going back to the area and intends to seek a MiCA license through France’s financial authority.
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