Coinbase establishes itself in the EU through Luxembourg: a strategic MiCA hub amid pressure on Binance
On June 24, cryptocurrency exchange Coinbase officially opened a new office in Luxembourg, announcing the creation of a European hub to fully comply with the MiCA regulation. This decision is not just a formality but a clear signal to the market: Coinbase is betting on regulatory transparency and a long-term presence in the European Union. While its main competitor, Binance, continues to struggle with obtaining a license, Coinbase had already received approval from the Luxembourg Financial Sector Supervisory Commission (CSSF) back in June 2025 — more than a year before the deadline.
Coinbase already held national licenses in six EU countries, including Germany and France, but the single MiCA license allows it to serve over 450 million residents of the European Union. The company Coinbase Luxembourg S.A. has already been registered with ESMA, granting it the right to operate in all 27 bloc countries without additional bureaucratic barriers. The grand opening of the office was attended by Director of Corporate Policy Faryar Shirzad and Luxembourg's current Minister of Finance, Gilles Roth.
Binance under pressure: rejection in Greece and search for a way out
The situation for Binance is radically different. This week, the exchange confirmed that it failed to obtain a MiCA license in Greece and remained outside the ESMA register. This is another blow following the major scandal in the US in 2023, when the company pleaded guilty to violations related to money laundering and sanctions, paying a record $4.3 billion fine. Founder Changpeng Zhao also pleaded guilty and stepped down as CEO.
Nevertheless, Binance claims 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. However, as of now, only a few days remain until the final deadline (July 1). Over 230 cryptocurrency enterprises have already successfully completed checks and retain the legal right to serve European users. Binance, however, risks being left out.
My analysis: Coinbase demonstrates how an institutional approach and transparency open doors to regulated markets. Binance, despite its statements, is in a vulnerable position: losing access to the EU market due to a lack of a license could be a serious blow to its global strategy. Time will tell whether the exchange can quickly restore regulators' trust.