Binance has confirmed that users’ assets in the European Union remain safe and fully held at a 1:1 ratio, as regulatory changes related to the European Cryptocurrency Markets in Europe (MiCA) regulation come into full effect on July 1.
The platform explained in a statement published via the X platform that affected users will continue to benefit from the options they were previously informed about, including withdrawals and transfers where applicable, stressing that it is communicating directly with customers to inform them of the next steps and procedures.
Binance CEO Richard Teng stated that customer assets remain safe and secure, noting that affected users will retain access to their account options after the MiCA rules take effect. He also encouraged customers with questions regarding their accounts to contact customer support through official channels.
These statements come as the transition period for the MiCA regulation, which requires crypto asset service providers to obtain an official license to continue offering their services within the European Union, comes to an end.
Binance had previously informed some users that it might have to suspend a number of its services after failing to complete licensing requirements before the deadline, while emphasizing that customer funds would remain safe and that withdrawals would remain available in accordance with the notices issued in each country.
According to previous reports, the current measures represent a temporary suspension of some services, not a final withdrawal from the European market, as the restrictions include stopping the acceptance of new orders, deposits, opening new accounts and staking products for EU residents, while the withdrawal of assets remains available.
Binance confirmed that it continues to work with regulators to complete licensing requirements, stressing its commitment to maintaining its presence in the European market, despite the regulatory challenges it faced during the process of complying with MiCA rules.
At the same time, the full implementation of the MiCA regulation has intensified competition among cryptocurrency trading platforms, with licensed platforms, including Coinbase and OKX, moving to attract Binance users in Europe, taking advantage of their compliance with the new regulatory framework.
Binance concluded its statement by emphasizing that it will continue to communicate directly with affected users, while working in coordination with regulators to ensure full compliance with the new European rules and the continued provision of its services in the region.
