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Binance Still Onboards Some EU Users After MiCA Deadline, Tests Show

Independent checks indicate controls failed to stop new registrations and deposits, raising questions about how EU regulators will enforce the new rule set

Overview

  • Tests conducted by Sandmark and reported Aug. 21 found new Binance accounts in several EU countries could be created, identity-verified and funded with crypto, including an account opened on Aug. 19.
  • Binance does not appear on the European Securities and Markets Authority’s register of MiCA-authorized providers and told reporters it is pursuing authorization through another EU member state.
  • ESMA ordered unauthorized firms to stop onboarding EU customers and to implement wind-down plans by July 1, but a large share of preexisting providers remained unlicensed after the deadline.
  • Binance restricted some country-level services after the July 1 cut-off, such as suspending trading in France, while maintaining withdrawals and saying customer assets remained supported.
  • The gap between MiCA rules and on-the-ground controls could prompt more national enforcement actions like Austria’s €70,000 fine for Bitpanda and will test how regulators coordinate cross-border oversight.