The Political Intervention Behind the Withdrawal
According to ChainCatcher, Binance founder Changpeng Zhao (CZ) disclosed in an interview that before voluntarily withdrawing its MiCA (Markets in Crypto-Assets) license application in Greece, the application was already fully compliant with regulatory requirements and was on the verge of approval. However, the process was interrupted due to what CZ described as "external political factors." He revealed that multiple EU member states had expressed strong interest in the license, even engaging in a certain degree of "competitive courting." Despite this, non-regulatory forces ultimately derailed the regulatory push, forcing Binance to pull the application.
Binance formally withdrew its Greek application last week and announced it would pursue MiCA authorization through other EU member states. CZ did not specify which countries were involved in the competition, nor did he disclose the exact source of the political factors. He noted that rumors linking the situation to high-level EU political figures lacked verifiable documentation—he had only seen similar claims online and could not confirm them.
MiCA Transition Period Approaching Its End
CZ emphasized that the EU MiCA transition period is set to expire on July 1, 2026. After that date, crypto service providers that have not obtained a license must cease operations within the EU. National regulators have made it clear that no extension will be granted. He characterized the outcome as a "lose-lose situation," citing Japan's and Singapore's regulatory journeys as examples where compliance processes often take longer. The current state of affairs, he said, benefits neither the industry nor regulators.
Greece has been one of the more proactive EU states in issuing crypto licenses, but Binance's withdrawal could affect its broader European compliance strategy. The exchange is now evaluating the regulatory environment in other member states and plans to resubmit an application promptly. Under the MiCA framework, any platform offering crypto asset services in the EU must obtain authorization from at least one member state, which then becomes valid across the entire bloc.
CZ on STRC Preferred Shares: Too Complex
During the interview, CZ also commented on Strategy's (formerly MicroStrategy) STRC preferred stock product. He described the product's structure as "too complex" and admitted he struggled to fully understand its mechanics. However, he refrained from judging Michael Saylor's credibility, calling him a "staunch Bitcoin supporter." CZ's remarks imply that even seasoned industry veterans have reservations about such innovative financial instruments, urging investors to exercise extra caution when dealing with products of this nature.
The STRC preferred shares offer a novel way for institutional investors to gain exposure to Bitcoin via Strategy's balance sheet, but the complexity has drawn criticism from various quarters. CZ's view adds to the ongoing debate about the appropriate balance between financial innovation and investor protection in the crypto space.