German regulator reportedly rejects Binance's crypto custody license demand

Cointelegraph
Cointelegraph

29 Jun 2023 10:44 AM

Binance’s struggle with regulators continues to mount as the exchange finds itself in regulatory soup quite similar to 2021 when the exchange faced regulatory warnings from more than half a dozen countries....

  • The German financial regulator, BaFin, has reportedly rejected Binance's crypto custody license application.
  • Binance has not confirmed the rejection but stated that they are unable to share details of conversations with regulators.
  • It is unclear whether BaFin officially rejected the license or verbally informed Binance, but the exchange may withdraw the application.
  • The denial of a custody license hinders Binance's advertising plans in Germany, as only licensed firms can advertise in the country.
  • Despite regulatory challenges, Binance remains a large trading platform with 2 million customers.
  • Binance has faced regulatory pushback in multiple countries, including the United States and various European countries.
  • The exchange is under investigation in France for "aggravated money laundering" charges.
  • Binance has exited the Dutch market and applied to wind down its services in the United Kingdom and Cyprus.

The article highlights the regulatory challenges faced by Binance, including the reported rejection of its crypto custody license application by BaFin. The sentiment is negative as Binance's plans are hindered, and the exchange faces investigations and market exits in various countries.

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Has BaFin officially rejected Binance's crypto custody license application?What are the advertising restrictions for crypto firms in Germany?How many customers does Binance have?In which countries has Binance faced regulatory pushback?Why is Binance under investigation in France?

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