Binance’s Changpeng Zhao Dismisses Stablecoin Delisting Rumors, Confirms Compliance With EU’s MiCA Regulation
The post Binance’s Changpeng Zhao Dismisses Stablecoin Delisting Rumors, Confirms Compliance With EU’s MiCA Regulation appeared first on Coinpedia Fintech News
It’s easy for misinformation to spread as news now travels faster than light. Recently, the crypto market was in fear with rumors about Binance, one of the world’s largest cryptocurrency exchanges, delisting stablecoins from its platform in EU. However, Changpeng Zhao, the CEO of Binance, has stepped forward to slap these FUDs and confirmed complete compliance with EU’s crypto bill by listing regulated stablecoins.
CZ Quashes Stablecoin Delisting Myths
According to CoinDesk, upcoming European Union regulations might lead to a widespread delisting of stablecoins, as indicated by a Binance official on Thursday. Legal experts are currently analyzing the potential impact of the EU’s Markets in Crypto Assets (MiCA) regulation. Nevertheless, Binance’s CEO, CZ, publicly dismissed these delisting speculations on X.
The MiCA regulation, which addresses stablecoins is set to be implemented in June 2024. Over the next 12 months, the European Banking Authority (EBA) and the European Securities and Markets Authority (ESMA) will be refining the specifics of this regulation. Marina Parthuisot, Binance France’s Head of Legal, expressed concerns in an EBA-hosted online public hearing, stating,
“Considering no stablecoin project has received approval, we might see a complete delisting of stablecoins in Europe by June 30.”
She emphasized the potential significant market implications in Europe compared to other global regions. While Binance CEO, Changpeng “CZ” Zhao, appreciates the clarity MiCA provides, regulatory challenges have already compelled the exchange to withdraw from several European countries, including the Netherlands, Cyprus, and Germany.
In response to CoinDesk’s claim that “Binance intends to delist all stablecoins in Europe before MiCA’s June deadline next year,” Binance’s founder, Changpeng Zhao, clarified, “This statement has been misconstrued. In reality, Binance has collaborated with multiple partners to introduce euros and other compliant stablecoins.
With its recent declaration, Binance demonstrates full adherence and openness to Europe’s regulations. The exchange also intends to continue its operations, delivering regulated services to European citizens.
Binance Heads Toward Victory Against The SEC
Binance’s US firm is currently in a legal battle against the SEC over customers’ fund mismanagement. On Monday, a federal magistrate judge did not grant immediate permission for officials to inspect the software of Binance.US, marking a challenge for the Wall Street regulator in its lawsuit against the crypto exchange.
The SEC has expressed difficulties in obtaining information from Binance.US since it initiated a lawsuit against the US-based exchange, its global counterpart Binance Holdings Ltd., and CEO Changpeng Zhao in June. On Monday, the regulator sought the judge’s approval to examine Binance.US’s tech infrastructure and compel the firm to disclose additional requested data.
The SEC has shown specific interest in Ceffu, an institutional crypto custodian and collaborator of Binance. The regulator suspects that Ceffu serves as a link between Binance US and Binance Holdings, facilitating the transfer of US customer funds overseas.
However, Zhao clarified, stating,
“Binance US has neither used nor ever engaged with Ceffu or Binance Custody.”
Filed under: Bitcoin - @ September 21, 2023 2:04 pm