• In June, Belgium’s Financial Services and Markets Authority (FSMA) ordered Binance to stop offering crypto exchange and custodial wallet services in the country.
• Binance has since announced that its Poland entity—registered with Polish regulatory authorities in January—will provide services to Belgian residents who comply with Know Your Customer requirements for Poland.
• The European Union’s Markets in Crypto-Assets legislation is expected to take effect in 2024 following passage by policymakers.
Binance Ordered To Stop Offering Services In Belgium
In June, Belgium’s financial regulator ordered Binance to stop offering crypto exchange and custody wallet services, citing violations of the country’s AML and CFT requirements.
Binance Poland Entity Providing Services To Belgian Residents
Binance has since announced that its Poland entity—registered with Polish regulatory authorities in January—will provide services to Belgian residents who comply with Know Your Customer requirements for Poland.
Regulatory Entanglements For Global Crypto Exchange
As a global crypto exchange operating in many countries through various entities, Binance has had a number of regulatory entanglements since its launch. This includes halting of its services for Dutch users due to failure to obtain a virtual asset service provider license as well as facing a lawsuit from the United States Securities and Exchange Commission.
Markets In Crypto-Assets Legislation Coming Into Effect
The Markets in Crypto-Assets legislation, which will establish a consistent regulatory framework for crypto assets among the European Union member states, is expected to take effect in 2024 following passage by policymakers. The framework is currently moving through a consultative phase for feedback on technical standards.
Conclusion
In response to an order from the Belgian Financial Services and Markets Authority (FSMA), Binance announced their Warsaw entity would be providing services to residents of Belgium while they work towards complying with all necessary regulations across EU member states.