European Central Bank President Christine Lagarde personally intervened against Binance's attempt to secure a European Union crypto license through Greece, The Wall Street Journal reports.
According to the report, Greek officials told the European Securities and Markets Authority in early June that the Hellenic Capital Market Commission intended to approve Binance's application. Less than a day later, an HCMC vice chair reportedly told Binance that Lagarde had asked Greek Prime Minister Kyriakos Mitsotakis not to let the application proceed. The account has not been publicly confirmed by Lagarde, the ECB or the Greek regulator.
Binance appeared to be preparing for approval. The Journal says the exchange had drafted an announcement and planned for co-CEO Richard Teng to travel to Athens for a meeting and photo with Mitsotakis. A Greek authorization would have allowed Binance to offer covered crypto services across the bloc under MiCA's cross-border rules.
Compliance and stablecoin concerns
Lagarde's reported concerns included Binance's compliance history and the growing role of dollar-backed stablecoins in Europe, according to the Journal. Binance pleaded guilty in the United States in 2023 to offenses involving anti-money-laundering rules, money-transmitter registration and sanctions, agreeing to a $4.3 billion resolution.
The stablecoin concern also intersects with the ECB's work on a digital euro. The Journal's account, however, describes a private intervention rather than a formal ECB decision in the Greek licensing process.
Binance is still seeking an EU license
Binance withdrew its Greek application on June 24, days before the MiCA transition deadline, and said it would seek authorization in another EU member state. The exchange has not publicly identified that jurisdiction.
Asked about the Journal's account, Binance told Cointelegraph that it would not comment on speculation and said it remained committed to operating under MiCA. The ECB declined to comment, while the HCMC had not responded by publication.
