Coinspeaker
Binance France: CZ’s Conviction Puts EU Access at Risk

Binance, the world’s leading cryptocurrency exchange, is facing significant legal and regulatory hurdles in Europe. The conviction of the founder and former CEO Changpeng ‘CZ’ Zhao, who recently pleaded guilty to money laundering charges in the United States could jeopardize its France operations.

Impact of MiCA on Binance’s EU Operations

If the judge hands down the 3 years sentence demanded by the United States Department of Justice to CZ, that could threaten its access to the European Union market. Europe’s new Markets in Crypto-Assets regulation, or MiCA, has a set of comprehensive outlines for crypto exchanges to operate within the EU.

However, Binance’s compliance with these rules will be a subject of debate due to CZ’s criminal conviction, creating uncertainty about the exchange’s future in Europe.

The MiCA has stringent requirements for crypto exchanges, including Anti-Money Laundering (AML) compliance, security measures, and disclosures related to listed assets. Interestingly, the regulation is uniformly applied across all 27 EU members’ states.

Therefo...