Binance is still onboarding new European customers and allowing verified accounts to accept deposits more than seven weeks after the EU’s July 1 Markets in Crypto‑Assets (MiCA) licensing deadline — despite not appearing on the bloc’s register of authorized crypto providers, according to a report from Sandmark shared with crypto.news. What the tests found - Sandmark carried out sign‑up and verification tests from Austria, France, Germany, Spain and Belgium using both regular internet connections and VPNs. In several cases, testers completed identity verification and were able to fund accounts after July 1. One account created on Aug. 19 with a European ID and address was fully verified and funded with crypto; it had not existed before the MiCA deadline. - No warning was shown during onboarding to indicate Binance lacked MiCA authorization. - Examples: an Austrian IP paired with a Spanish identity completed verification within minutes and could receive crypto deposits; a Belgian connection produced an active account in about ten minutes after an ID photograph and a live facial check. A Spanish sign‑up succeeded until it was rejected because the person already had an account (the rejection did not cite MiCA or residency rules). - By contrast, a U.S. connection redirected users to Binance.US, and after logging into the international platform deposits and trading were suspended — only withdrawals were available. Operational and payment details - Under Binance terms, Belgian customers contract with Binance Poland Sp. z o.o., a Polish‑registered virtual asset service provider — though the Sandmark review noted Poland had no providers listed on ESMA’s register cited in the report and neither Binance Poland nor any Binance entity appeared among approved providers. - Payment routing for the Belgian test used BPay Global B.S.C., Binance’s Bahrain‑based payments affiliate, with settlement planned through an account at JSC Pave Bank in Tbilisi, Georgia. A SEPA euro transfer attempt triggered additional checks from BPay and was not completed, leaving the final outcome unclear. - In one case, a bank transfer was blocked after a third‑party provider flagged an address mismatch even though Binance’s dashboard showed the address as verified; cryptocurrency deposits remained allowed. Binance’s licensing position and response - Binance withdrew its Greek MiCA application in June after that route stalled, and the company has said it intends to remain in Europe while pursuing authorization through another member state. - The exchange declined to comment on specific customers or accounts but said European service availability “can vary based on the jurisdiction, transitional rules, the product involved and individual circumstances.” It added: “Following the implementation of MiCA, we have taken steps to ensure that the availability of our products and services in Europe aligns with relevant legal and regulatory frameworks,” and that it is “actively progressing” its authorization efforts. - Earlier in July, Binance told users in Italy, Spain, France, Poland, Belgium and Sweden that new registrations and some services — including earn products offering yields on deposited crypto — would be suspended after the transition period, though customers were not required to withdraw assets and the company said funds remained safe. Regulatory context and enforcement - MiCA requires firms providing covered crypto services to EU customers to be authorized; ESMA instructed unauthorized providers to stop onboarding new EU customers and to restrict services to allow clients to exit, and said firms “must have implemented its wind‑down plan” by July 1. - Authorization uptake has been limited. A review on Aug. 11 showed just 281 of 1,343 providers operating across the European Economic Area before the transition had obtained MiCA authorization. ESMA’s register had grown to 330 authorized providers by Aug. 20 — Binance was not listed. - ESMA also keeps a register of companies identified as providing crypto services without authorization; that list had 167 entries as of Aug. 20, but did not include Binance. - National regulators have started enforcement under MiCA: on Aug. 14 Austria’s Financial Market Authority fined Vienna‑based Bitpanda €70,000 for failing to publish a required crypto whitepaper on time and for distributing marketing without the regulator’s disclaimer. What’s next Sandmark’s tests show that, in practice, some onboarding and deposit paths remain open for certain European users even after MiCA’s transition deadline. Regulators have been asked whether allowing new EU customers to verify accounts and accept deposits after July 1 complies with ESMA guidance; ESMA confirmed receipt of questions and requested more time to respond, while Austria’s FMA declined to comment. The situation underscores a fragmented picture: providers, payments partners and national rules can create differing outcomes for customers across the bloc as exchanges and regulators work through MiCA implementation and authorization processes. Read more AI-generated news on: undefined/news