Users of Binance in France have lost their ability to trade on the platform after the exchange failed to meet the European Union’s MiCA approval deadline. As of July 1, Binance discontinued multiple services not only in France but also in other European nations where it lacks the necessary authorization under the EU’s newly established cryptocurrency regulations.
Withdrawal Allowed, Trading Restricted
Although Binance has cut off trading services, French users are still permitted to withdraw their assets. This adjustment follows the end of the MiCA transition period, which now demands that crypto firms obtain approval from one EU member state to operate across all member countries. The changes mean that spot and margin trading are no longer options for users, many of whom had relied on the platform for active trading.
Binance reportedly had about 2 million users in France before the service limitations were enforced. The company reassured its clients via earlier communications, stating that “Your assets remain safe and secure.” Users have been urged to consider transferring their assets either to a regulated platform or to personal wallets if they wish to maintain active access.
Impact on Users and Alternative Options
The current situation has prompted many users to move their funds proactively ahead of the July 1 cut-off. While some users expressed frustration over the lack of assistance from Binance during the transfer process, others opted for a more cautious approach. For instance, one user shared with BFM Business that they transferred their cryptocurrencies last weekend to avoid any last-minute complications, while another criticized the platform for leaving customers to manage their situation independently.
According to tracking data, Binance experienced approximately $1.6 billion in net outflows within the past month. However, this figure remains minor compared to the roughly $114 billion in crypto assets still being managed by the exchange.
Competitors Eyeing Binance's Users
The pause in services at Binance has paved the way for its competitors to attract the affected user base. Both Coinbase and OKX have reportedly aimed their marketing efforts at Binance customers, promoting access to licensed services compliant with EU regulations. Coinbase has particularly targeted users across several European markets, including France, Germany, Italy, Belgium, Poland, Sweden, and the U.K. Similarly, OKX has launched offers for eligible users looking to shift from Binance.
