Binance's European operations face deepening challenges as the world's largest cryptocurrency exchange reportedly plans to close all customer accounts in France by December 31 after failing to obtain the necessary MiCA license to continue operating in the European Union.
French Accounts Set for Closure
According to Coin Bureau, Binance France will close all customer accounts by December 31 as the EU's MiCA licensing requirement forces a wind-down. Deposits are supposedly already blocked, but users can still withdraw their funds until year-end.
The first major deadline falls on November 29. Customers must move their crypto before this date to avoid a monthly fee of 0.025% of their remaining balance or 10 USDC, whichever is higher.
"After accounts close on December 31, 2026, Binance may convert or transfer any remaining assets under its terms of service. Binance confirms customer assets remain accessible during the wind-down," Coin Bureau added.
Other European Users Affected
X user Vikram claimed that Spanish, Italian, and Polish accounts will also face permanent closure by New Year's Eve. They advised affected users to check their emails and account notifications, withdraw funds before the applicable deadline, verify the process, and monitor the regulatory status of alternative exchanges before transferring funds.
"This does not mean Binance is shutting down across the entire EU. Only certain customers are reportedly affected," the X user concluded.
MiCA License Application Withdrawn
Earlier this year, Binance withdrew its MiCA license application with the Hellenic Capital Market Commission (HCMC) in Greece and said it would pursue authorization in another EU member state. The deadline was July 1, but the company missed it, preventing it from joining rivals like Kraken, Coinbase, Crypto.com, OKX, and many more.
Later reports suggested that Christine Lagarde, President of the European Central Bank, personally blocked Binance's license because of the company's past legal issues in the USA and concerns about dollar stablecoin adoption.
Numerous European users have taken to X in recent months to report service disruptions, but the situation now seems to be worsening for French clients.
Recovery from $6.3 Billion Hack Continues
Meanwhile, Binance has made significant progress in restoring services after the massive $6.3 billion hack it suffered at the end of October, which became the biggest cyber incident in the history of the cryptocurrency industry.
The company acted quickly, initially halting withdrawals and deposits while the team ran necessary security checks and worked with law enforcement. It also promised to reimburse users via its SAFU fund and its own reserves.
Shortly after, it started preparing for the first phase of withdrawal recovery, featuring networks like Bitcoin, Ethereum, BNB Smart Chain, XRP, and more. Several hours ago, it disclosed that HYPE and APT withdrawals have also been re-allowed.
The company said about 95% of the stolen amount has been covered, but the hack caused serious reputational damage. Users pulled almost $4.65 billion in less than 10 hours after withdrawals were restored, while the total net flows for the past month exceed -$10.2 billion.
