Coinbase strengthens its position in the EU through MiCA, while Binance faces regulatory obstacles
Crypto exchange Coinbase officially opened a new office in Luxembourg on June 24, establishing a European hub to fully comply with MiCA (Markets in Crypto-Assets) regulations. This move demonstrates the company's strategic approach to regulation in the region. Meanwhile, its main competitor, Binance, continues to struggle to obtain a license, facing serious obstacles.
These events clearly highlight the key role of transparency and experience in dealing with government authorities. These factors determine the right to operate legally within the European Union after July 1 — the date when MiCA rules come into effect. Organizations that successfully complete the compliance process ahead of their competitors will be able to freely serve clients in all 27 countries of the bloc. Other industry participants risk losing this promising market forever.
Coinbase establishes itself in Luxembourg
Coinbase received its MiCA license from the Luxembourg Commission for the Supervision of the Financial Sector back in June 2025 — more than a year before the new rules took effect. The company already had national licenses in six EU countries, including Germany and France. Since 2021, Coinbase has been traded on the Nasdaq exchange, and regulators have had access to its audited reports for several years.
One license covers more than 450 million residents of the European Union. Coinbase Luxembourg S.A. has already been registered with ESMA, joining the list of companies authorized in the EU under MiCA.
The grand opening of the new office took place with the participation of Director of Corporate Policy Faryar Shirzad. Luxembourg's current Minister of Finance, Gilles Roth, also attended the event.
"Luxembourg has become a leading hub for the institutional crypto industry and tokenization in the EU," he stated.
Binance under pressure
Binance has chosen a different path. This week, the exchange confirmed that it failed to obtain a license in Greece and was left off the ESMA register.
Regulators have long been closely monitoring Binance. In 2023, the company pleaded guilty in the U.S. to violations related to money laundering and sanctions. Binance paid over $4.3 billion for its misconduct — one of the largest fines in American business history. Founder Changpeng Zhao also pleaded guilty and stepped down as CEO.
Now, Binance plans to submit an application for approval in another EU country. The company claims 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, in a comment to Reuters.
What's next
Only a few days remain until the final deadline for meeting regulatory requirements. As of now, more than 230 crypto enterprises have successfully completed inspections. They retain the legal right to continue serving European users.
Analytical summary: The gap between Coinbase and Binance in the context of MiCA is not just a matter of licensing, but a reflection of a fundamental difference in corporate culture and attitude toward regulators. Coinbase, as a public company with a long history of audits, was inherently better prepared for transparency. Binance, on the other hand, is paying for past mistakes that now hinder its ability to adapt quickly. The outcome of this race will determine who will dominate the European market in the coming years.