Binance’s EU MiCA License Blocked After Lagarde Intervention: WSJ

ECB President Christine Lagarde personally intervened in Binance’s attempt to secure a crypto license in Greece, prompting regulators to delay the application, The Wall Street Journal reported, citing people familiar with the matter.

The ECB does not formally have the authority to approve or reject licenses under the European Union’s Markets in Crypto-Assets Regulation. However, the Journal reported that pressure from senior European officials contributed to Greece putting Binance’s application on hold after regulators had determined it was complete.

A senior Greek regulator reportedly informed Binance that Lagarde wanted the decision delayed until the European Securities and Markets Authority, or ESMA, takes over licensing decisions for crypto exchanges under a proposed EU regulatory overhaul. That reform has not yet been adopted.

Under the current MiCA framework, crypto companies receive authorization from regulators in individual EU member states. Once licensed in one country, a firm can generally use that authorization to provide regulated services throughout the bloc.

The Journal reported that concerns surrounding stablecoins and the ECB’s digital euro project were among the factors behind the intervention. Lagarde was reportedly concerned that Binance’s large user base and market presence could encourage greater adoption of dollar-backed stablecoins in Europe, potentially increasing competition for euro-denominated digital payment options.

Binance declined to address the specific report.

“We will not comment on speculation,” a company spokesperson said, adding that Binance remains committed to operating in Europe on a long-term, compliant basis under MiCA.

The company also said it continues to pursue regulatory approval in the region and is “actively working toward becoming MiCA-authorised.”

Binance Withdrew Greek Application

Binance withdrew its Greek license application in mid-June and began winding down its local operations after Greece’s Hellenic Capital Market Commission decided not to approve the request at the final stage.

Gillian Lynch, Binance’s head of Europe, said in early July that the company had already satisfied the regulator’s requirements.

“We were deemed to have a complete application,” Lynch told CoinDesk. “Nothing was missing, nothing material was outstanding.”

The Journal separately reported that ESMA had privately encouraged national regulators to reject Binance’s MiCA applications because of concerns about the exchange’s previous compliance record.

Binance founder Changpeng “CZ” Zhao pleaded guilty in the United States in 2023 to violating the Bank Secrecy Act. Binance agreed to pay $4.3 billion in penalties. Zhao served a four-month prison sentence in California in 2024 before being pardoned by President Donald Trump in October 2025.

ECB Rejects Formal Licensing Role

An ECB spokesperson declined to comment on the reported intervention when contacted by CoinDesk.

The central bank said it does not have an institutional role in authorizing crypto-asset service providers under the current framework. Licensing authority remains with national competent authorities, including Greece’s Hellenic Capital Market Commission.

The reported Binance dispute comes as EU policymakers consider reforms that could expand ESMA’s role in supervising and licensing major crypto companies across the bloc.