FinanceFWD previously said BaFin indicated plans to reject Binance’s application for a custody license but the decision was unclear.
The crypto exchange also applied to rest its operations in Cyprus and the United Kingdom.
The company closed its shop in the Netherlands after Dutch regulators denied the company a digital asset services license.
Changpeng Zhao’s company is under multiple probes in the United States from regulators like the CFTC, DOJ, and SEC.
Binance officially withdrew its application with the German Federal Financial Supervisory Authority (BaFin) for a crypto license amid a retreat from multiple European markets due to regulatory obstacles and ongoing lawsuits in the U.S.
FinanceFWD previously reported that BaFin denied the company’s request for a custody license but it was unclear if the decision was official or simply intended at the time.
Today, a spokesperson confirmed that the company has indeed pulled its license application with BaFin citing changes in the global regulatory atmosphere and market conditions.
Binance confirms that it has proactively withdrawn its BaFin application. The situation, both in the global market and regulation has changed significantly. Binance still intends to apply for appropriate licensing in Germany, but it is essential that our submission accurately reflects these changes.
Binance Exits European Frontiers
Binance failed to register with Dutch regulators and announced its exit from the Netherlands. The company also plans to shut down operations in Cyprus and the United Kingdom.
Belgian authorities issued a cease and desist order to the company while Australia’s securities regulator (ASIC) revoked the company’s derivatives license.
French police raided Binance Paris in a money laundering investigation, although CEO Changpeng Zhao said the company fully corporated with authorities.
Amid roadblocks in Europe, the company is setting up shop in the Asian market with a re-emergence in Japan. Binance Japan expects to kick off fully compliant crypto services on August 2 after purchasing Sakura Exchange BitCoin (SEBC), a locally regulated company, in November 2022.