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Europe’s crypto industry is entering a new regulatory era. On July 1, the European Union’s transitional period under the Markets in Crypto-Assets (MiCA) regulation officially ends, meaning crypto exchanges, custodians and other service providers can continue serving EU customers only if they have obtained authorization as Crypto-Asset Service Providers (CASPs).
The deadline marks one of the biggest regulatory shifts in the history of the European crypto market.
While major exchanges such as Coinbase, Kraken and several others have already secured MiCA licenses, others, including Binance, are still working to obtain approval, creating uncertainty over their ability to expand operations across the bloc.
The MiCA framework, formally Regulation (EU) 2023/1114, allowed crypto companies already operating under national rules before December 30, 2024, to continue serving customers during an 18-month transition period.
That grace period expires on July 1.
From that date, firms that have not obtained CASP authorization can no longer legally provide crypto services to European clients based solely on legacy national registrations. The European Securities and Markets Authority (ESMA) has also clarified that the deadline applies even in member states where national implementation remains incomplete.
ESMA is urging firms without authorization to stop accepting new customers, halt promotional activities targeting EU residents and focus exclusively on facilitating an orderly exit for existing users. Customers holding assets on non-compliant platforms should receive clear information about transfers, withdrawals and account closures.
The regulator has also encouraged investors to verify whether their provider appears on ESMA’s public MiCA register, which lists authorized CASPs, licensed token issuers and entities flagged by national regulators.
Because many exchanges operate through multiple legal entities across different jurisdictions, ESMA advises users to verify the specific entity providing the service rather than relying solely on a familiar brand name.
As the deadline approaches, Coinbase and Binance illustrate two very different regulatory strategies.
Coinbase officially opened its Luxembourg office this week, confirming the country as its European headquarters under MiCA. The exchange received its CASP authorization from Luxembourg’s financial regulator, the Commission de Surveillance du Secteur Financier (CSSF), in June 2025, more than a year before the transition deadline.
Luxembourg is officially our MiCA home 🇱🇺
We're looking forward to welcoming users from across the EU to Coinbase. https://t.co/6YiRoJRdJA
— Coinbase 🛡️ (@coinbase) June 24, 2026
The company had already secured national licenses in several European countries, including Germany and France, before consolidating its operations under MiCA’s passporting regime. Through its Luxembourg authorization, Coinbase can offer services across all 27 EU member states and the wider European Economic Area.
Chief Policy Officer Faryar Shirzad described Luxembourg as “the leading EU hub for institutional crypto and tokenization,” highlighting the country’s growing role in Europe’s digital asset sector.
Binance, meanwhile, faces a more complicated path.
The exchange recently withdrew its application for a crypto license in Greece after failing to secure approval. As a result, Binance currently does not appear among the MiCA-authorized entities listed in ESMA’s register.
FT: Binance to Stop Serving EU Clients Next Week After Failing to Obtain MiCA Licence
According to FT, Binance has notified EU clients that it will stop providing services to them from next week after failing to obtain a MiCA licence. From July 1, crypto companies operating in… pic.twitter.com/ibdLC6czj4
— Wu Blockchain (@WuBlockchain) June 26, 2026
The company says it intends to pursue authorization through another EU member state and insists it remains committed to Europe.
“Binance is not leaving Europe,” Gillian Lynch, the company’s Head of Europe and UK, told Reuters.
MiCA’s impact extends beyond exchanges to stablecoins.
Several major platforms have already imposed restrictions on tokens that have not obtained authorization under the new framework. Binance and Gemini have limited services involving stablecoins including USDT, DAI and PAXG for users in the European Economic Area.
Binance has also announced restrictions affecting FDUSD, TUSD, USDP, AEUR and XUSD, while Gemini has ceased operations in Australia, UK, and the EEA effective April 6.
By contrast, compliant stablecoins such as USDC and EURI remain available on many licensed platforms.
For investors, MiCA introduces stronger consumer protections, including requirements for client asset segregation, enhanced custody standards and greater transparency from authorized providers.
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