Binance withdrew its MiCA license application in Greece after meeting all compliance requirements, with founder Changpeng Zhao saying political pressure derailed the process just before approval.
greece bid stalls despite near approval
Speaking in an interview, Zhao said the application had cleared regulatory hurdles and was close to being approved when outside interference forced its withdrawal. He added that more than one European Union country had shown interest in hosting the exchange under the bloc’s new crypto framework.
According to Zhao, two countries competed over the application, creating delays that ultimately opened the door to political complications. He said he had seen online claims about external influence but could not verify them.
Binance has now formally pulled its Greek bid and is seeking authorization in another EU member state.
race to meet MiCA deadline
The move comes as the July 1 deadline looms for crypto firms to secure licenses under MiCA rules. After that date, unlicensed platforms must stop operating across the European Union.
Co-CEO Richard Teng recently said the company remains on track to obtain approval in time. However, regulators in Spain have made clear there will be no extensions or exceptions.
The withdrawal has already triggered operational changes. Users in France, Italy, Poland, and Spain are being notified of upcoming service restrictions as the deadline approaches. Without approval, a temporary disruption now appears likely, even as the company insists it is not leaving the region.
The situation mirrors Binance’s earlier regulatory paths in Japan and Singapore, where initial withdrawals were followed by new licensing efforts. Zhao noted that despite earlier warnings in Japan, the exchange ultimately secured approval from the Japan Financial Services Agency in 2023.
strategy stock draws scrutiny amid Bitcoin slump
During the same discussion, Zhao raised concerns about Strategy’s STRC preferred stock, which has fallen about 26% below its $100 par value alongside a broader drop in Bitcoin.
Strategy has responded by increasing the dividend to 12% and launching a large buyback program under a new Digital Credit Capital Framework. Zhao said the structure appears overly complex and warned that using Bitcoin as collateral introduces significant volatility to leveraged products.
Shortly after his remarks, the company expanded its capital plan, authorizing up to $2 billion in repurchases and allowing for the potential sale of Bitcoin holdings to meet financial obligations. The shift has unsettled parts of the market, given Strategy’s long-standing approach of accumulating rather than selling Bitcoin.
market pressure intensifies
These developments come as Bitcoin trades below $60,000, its lowest level since late 2024 and more than 50% below its October 2025 peak.
The decline has been reinforced by sustained outflows from spot Bitcoin ETFs, which have seen roughly $6.4 billion in net withdrawals over the past month. Data from K33 Research indicates that more than half of Bitcoin’s circulating supply is now held at an unrealized loss, a sharp deterioration from about 30% just a month earlier.
zhao backs prison reform and X ambitions
Separately, Zhao said he donated $2 million to Prison Professors, a nonprofit focused on helping incarcerated individuals prepare for reentry. The funds were delivered in four installments following his release from a four-month federal sentence.
He also confirmed contributing around $500 million to Elon Musk’s acquisition of Twitter, securing roughly a 1% stake. Zhao said he explored involvement in Musk’s “X Money” initiative but was told the platform is not currently engaging with crypto assets.
An early version of X Money is now being rolled out in the United States, offering peer-to-peer payments and a Visa debit card using traditional currencies. Zhao said he still sees long-term potential for X to develop into a global payments platform, even without immediate crypto integration.
As MiCA reshapes EU crypto rules, explore how centralized exchanges work in depth with our CEX vs DEX guide.
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