Coinbase strengthens its position in the EU through Luxembourg, while Binance loses its license in Greece — the battle for MiCA intensifies
The cryptocurrency market in the European Union is entering a decisive phase: only days remain until the final MiCA (Markets in Crypto-Assets) regulations take effect, and the balance of power among leading exchanges is becoming increasingly clear. Coinbase made a strategic move by opening a new office in Luxembourg on June 24 and obtaining a MiCA license from the local regulator, the Commission de Surveillance du Secteur Financier (CSSF). This step allows the exchange to legally serve clients in all 27 EU countries, reaching an audience of over 450 million people.
Coinbase establishes itself in Luxembourg
The license was obtained back in June 2025—more than a year before the deadline. At that time, Coinbase already had national licenses in six EU countries, including Germany and France, and has been traded on Nasdaq since 2021, providing regulators with access to audited reports spanning several years. Now, Coinbase Luxembourg S.A. is officially registered in the ESMA register, confirming its full compliance with MiCA requirements. The grand opening of the office was attended by Director of Corporate Policy Faryar Shirzad and Luxembourg's current Minister of Finance, Gilles Roth.
"Luxembourg has become the leading hub for the institutional crypto industry and tokenization in the EU," Shirzad stated.
Binance under pressure
The situation for Coinbase's main competitor, Binance, is unfolding differently. This week, the exchange confirmed that it was unable to obtain a MiCA license in Greece and found itself outside the ESMA register. This is another blow to the platform's reputation, which in 2023 pleaded guilty to violations related to money laundering and sanctions in the U.S., paying a fine of $4.3 billion—one of the largest in American business history. Founder Changpeng Zhao also pleaded guilty and stepped down as CEO.
Nevertheless, Binance states that it is not leaving Europe. The company plans to apply for approval in another EU country, asserting that it meets MiCA requirements and has a staff of approximately 1,500 compliance employees. "Binance is not leaving Europe," said the platform's head for Europe and the UK, Gillian Lynch.
What's next?
Only days remain until the final deadline for compliance with the regulator's requirements. As of now, over 230 cryptocurrency companies have successfully completed checks and retain the legal right to continue serving European users. For those who have not made it, July 1 could mark the date of losing access to the crypto exchange.
My analysis: The gap between Coinbase and Binance in Europe is becoming critical. Coinbase, betting on transparency and an institutional approach, gains access to the largest market with a population of 450 million. Binance, despite claims of compliance, continues to bear the burden of reputational risks. If Binance cannot quickly obtain a license in another EU country, it risks losing a significant share of the European market, which would be a serious blow to its global expansion.