Why Did Binance Choose Greece?
Binance co-CEO Richard Teng said Greece’s labour force and security profile gave it an advantage over larger financial centres as the exchange selected a regulatory base in Europe. The world’s largest cryptocurrency exchange applied last month in Greece to operate under the European Union’s Markets in Crypto-Assets Regulation (MiCA) framework.
Under MiCA rules, crypto companies must obtain a license by July 2026 to continue operating in the bloc. While Germany has issued 45 licenses and the Netherlands 22, Greece has yet to approve one, according to regulator data — making Binance’s choice notable.
“The license is pretty standard throughout Europe, so we have to think through many other factors, whether it’s social, whether it’s talent pool, safety and security issues,” Teng said on the sidelines of the GFTN Forum in Tokyo. “Greece is where we think will be a good base for us to expand in Europe.”
Investor Takeaway
What Is at Stake Under MiCA?
MiCA creates a single licensing regime across the European Union, allowing approved firms to passport services across member states. For exchanges like Binance, securing authorization in one country unlocks access to the broader EU market.
Binance holds roughly $44 billion worth of bitcoin in customer wallets and serves around 300 million users globally. Its regulatory home is in Abu Dhabi, but MiCA forces crypto firms to establish an EU-compliant base if they want to retain access to European clients after the 2026 deadline.
Teng, a former regulator in Singapore and Abu Dhabi who became CEO in November 2023, said the timing of approval would depend on EU authorities. Since taking leadership, he has said he wants Binance to become the “most regulated” crypto exchange in the world.
How Do Past Controversies Factor In?
Binance’s regulatory positioning in Europe comes after years of scrutiny in the United States and elsewhere. Founder Changpeng Zhao pleaded guilty to violating U.S. anti-money-laundering laws, resulting in a nearly four-month prison sentence and a $4.3 billion penalty for the company. Zhao was later pardoned by U.S. President Donald Trump last year.
Teng said Zhao remains active as a shareholder and declined to speculate on any return to operational leadership.
Questions resurfaced recently after reports in The Wall Street Journal and other outlets cited internal Binance investigators who allegedly identified $1.7 billion in crypto transfers involving Iranian and Russian actors. The reports prompted an inquiry from Connecticut Senator Richard Blumenthal.
Teng said the coverage was misleading and that the investigators referenced had been terminated for breaching internal data-handling policies, not for uncovering suspect transfers.
“We do not serve residents of sanctioned countries,” Teng said, while acknowledging that blockchain-based transactions make it impossible to eliminate suspicious activity entirely.
Investor Takeaway
MiCA approval will test whether Binance’s post-settlement compliance overhaul satisfies European regulators amid continued political scrutiny tied to sanctions and historical enforcement actions.
What Is the Market Backdrop?
Crypto markets have been volatile over the past year, with bitcoin trading roughly 50% below its October record high of just over $126,000. Binance deployed $1 billion from an emergency fund to purchase bitcoin during the downturn.
Teng said retail sentiment had weakened, but institutional participation remained steady. “The smart money, the institutional money, the long-term money still continues to invest,” he said.
As MiCA’s deadline approaches, Binance’s application in Greece will serve as a barometer for how quickly large global exchanges can convert regulatory intent into operational approval within the EU framework.