- Belgium’s Financial Services and Markets Authority (FSMA) has asked cryptocurrency exchange Binance to halt its digital currency operations within the country.
- Binance continues to lose ground in Europe as it faces increasing disapproval from regulators across the continent.
In a recent development that tightens the operational landscape for Binance in Europe, Belgium’s financial watchdog, the Financial Services and Markets Authority (FSMA), has asked the cryptocurrency exchange to cease its digital asset services within the country. Reuters reported this call for a halt on June 23.
Binance, one of the world’s leading crypto exchanges, reportedly offers exchange services in Belgium for both virtual and legal currencies. It also provides wallet storage solutions from countries outside the European Economic Zone. FSMA, the regulatory body, has thus called upon Binance to “immediately cease offering and providing such services” in Belgium.
This latest move shrinks Binance’s influence within the European domain, a region where the exchange seems to be increasingly incurring regulatory discontent. Binance recently had to pull back its operations from major markets like the United Kingdom, the Netherlands, and Cyprus. Meanwhile, French authorities are currently investigating the company on suspicions of money laundering.
While responding to these regulatory measures, a Binance spokesperson emphasized that some of these actions were part of the company’s voluntary efforts. According to them, the company is merely preparing for the impending MiCA regulation through “some consolidations.”
As far as Germany is concerned, Binance’s regulatory future remains somewhat uncertain. When queried about Binance’s status last week, the Federal Financial Supervisory Authority (BaFin) declined to comment on individual companies or the state of any ongoing licensing procedures.
As regulatory frameworks for cryptocurrencies evolve across the globe, these developments further highlight the ongoing tensions between digital asset platforms and regulatory bodies, primarily in the European arena.