Binance Pulls Out of German BaFin Crypto Application – What's Going On?

cryptonews.com:

A month after the world’s largest crypto exchange Binance faced rejection of its crypto custody license request from the German regulator BaFin, the exchange has reportedly withdrawn its license application.

“Binance confirms that it has proactively withdrawn its BaFin application,” a Binance spokesperson told Cryptonews.com on Wednesday.

“The situation, both in the global market and regulation, has changed significantly. Binance still intends to apply for appropriate licensing in Germany, but it is essential that our submission accurately reflects these changes.”

The German Federal Financial Supervisory Authority (BaFin), on June 29, rejected Binance’s crypto custody license, however, the regulator did not specify why it had denied the exchange’s license application.

Binance also noted at the time that it would not share details of conversations with regulators, but said, “we continue to work to comply with BaFin’s requirements” and that the team is confident that measures are in place to continue discussions with the German regulator.

The move marks the latest in a string of setbacks for Binance, as the exchange faces increased pressure from regulators worldwide.

Binance has withdrawn from a number of European nations, citing license application rejections and registration difficulties. 

In June, the crypto exchange announced that it is winding down operations in the Netherlands, after failing to secure registration despite its efforts to comply with the Dutch regulators.

The popular exchange noted that it no longer permits trades, purchases, withdrawals, and deposits to Dutch users.

Additionally, the company gave up its registration in other countries including Cyprus, where the crypto platform cited that it is focusing on