Powered by LumidaWealth.com
Lumida News
  • Home
  • EarningsNEW
  • News
    • Alt Assets
    • Crypto
    • Equities
    • Macro
    • Markets
    • Real Estate
  • Lifestyle
    • Family Office
    • Health and Longevity
  • Themes
    • Aging & Longevity
    • AI
    • CRE
    • Digital Assets
    • Legacy Brands
    • Nuclear Renaissance
    • Private Credit
  • About Us
No Result
View All Result
Lumida News
  • Home
  • EarningsNEW
  • News
    • Alt Assets
    • Crypto
    • Equities
    • Macro
    • Markets
    • Real Estate
  • Lifestyle
    • Family Office
    • Health and Longevity
  • Themes
    • Aging & Longevity
    • AI
    • CRE
    • Digital Assets
    • Legacy Brands
    • Nuclear Renaissance
    • Private Credit
  • About Us
No Result
View All Result
Lumida News
No Result
View All Result
  • Lumida Wealth
  • Lumida Ledger
  • LUMIDA ETF
  • About Us
Home News Crypto

EU Regulators Question Binance Over Reverse Solicitation Exemption; MiCA Wind-Down Order July 1; Abu Dhabi Entity Workaround; ESMA/France/Germany/Greece Enforcement Probes; $4.3B US 2023 Fine; Local Licences Lapsed; No MiCA Authorization Yet

by Team Lumida
October 1, 2026
in Crypto
Reading Time: 5 mins read
A A
0
Breaking: Judge Allows SEC Case Against Binance to Move Forward

Source: CNBC

Share on TelegramShare on TwitterShare on FacebookShare on LinkedinShare on Whatsapp
  • Binance using reverse solicitation exemption to continue EU operations; regulators questioning scope. ESMA + national regulators (France, Germany, Greece) probing Binance’s “reverse solicitation” claim—legal exemption allowing non-EU companies to serve EU customers if customers self-initiate relationship. Binance failed to secure MiCA licence summer 2026; MiCA wind-down order July 1 required unlicensed crypto companies take “immediate steps” exit EU. BUT: Binance routing EU customers through Abu Dhabi-regulated entity (authorized Dec 2025) + claiming reverse solicitation in countries where no local licence held. Regulators questioning: “on what basis are customers self-solicited vs actively marketed?”
  • Reverse solicitation framework: narrow exemption, post-Brexit usage, strict requirements. Framework gained prominence post-Brexit when UK companies sought EU access without separate licensing. EU law states crypto companies must make “narrow” use of exemption with strict restrictions. ESMA: “reverse solicitation exemption should be understood as very narrowly framed…should be regarded as exception, not used to circumvent MiCA requirements.” Dutch AFM: “clear requirements and guidelines that must be met.” Validates that regulators treating Binance’s interpretation as overly expansive (validates Articles 162/165 on regulatory gaps in crypto oversight vs industry workarounds).
  • Binance’s regulatory history: years of investigations, licensing issues, $4.3B US fine. Binance world’s largest crypto exchange but suffered licensing setbacks + multiple enforcement actions. US 2023: $4.3B fine + pleaded guilty to criminal charges (money laundering, breaching international sanctions). Now facing EU MiCA enforcement probes—validates that compliance failures persistent across jurisdictions. Company held local licences France/Spain/Poland (lapsed under MiCA). Austria-based user confirmed routing through Abu Dhabi entity, “nothing changed…same experience…can buy/sell/trade as usual”—validates that Binance operationalizing workaround (validates Articles 162/165 on regulatory arbitrage infrastructure building).
  • Enforcement escalation risk: potential fines if regulators unsatisfied with response. Multiple regulators requesting information from Binance. If unsatisfied, regulators can impose fines + enforcement action. Binance statement: “complies with applicable regulatory requirements…actively working toward MiCA-authorisation.” BUT: company telling insiders “doesn’t want to grow business this way long term”—validates internal acknowledgment that reverse solicitation strategy temporary (validates that company understands risk). Regulators also investigating smaller crypto companies using exemption (validates systemic regulatory concern, not isolated Binance issue).

What Happened?

EU regulators (ESMA + France/Germany/Greece) questioning Binance’s continued EU operations despite MiCA wind-down order (July 1). Binance failed to obtain MiCA licence summer 2026. Company routing EU customers through Abu Dhabi-regulated entity (authorized Dec 2025) + claiming reverse solicitation exemption (legal workaround allowing non-EU companies to serve EU customers if customers self-initiate). Regulators asking Binance on what basis customers “self-solicited” vs actively marketed. Reverse solicitation framework narrowly defined post-Brexit; strict requirements apply. Binance held local licences France/Spain/Poland (lapsed under MiCA). Austria user confirmed using Abu Dhabi entity, “nothing changed…same experience.” Binance statement: complying with requirements, working toward MiCA authorization. Insiders: company doesn’t want to grow via reverse solicitation long term.

Why It Matters?

Binance’s reverse solicitation strategy validates Articles 162/165 on regulatory arbitrage: unlicensed crypto company finding legal workarounds to continue EU operations despite explicit wind-down order. MiCA designed to regulate crypto services in EU; Binance routing through Abu Dhabi entity + claiming reverse solicitation defeats intent (validates Articles 162/165/180 on policy-implementation gaps). Binance’s $4.3B US fine (2023) + criminal charges (money laundering/sanctions breach) validates persistent compliance failures across jurisdictions—suggests EU enforcement justified. Regulators treating reverse solicitation narrowly (validates policy response). Smaller companies also using exemption (validates systemic regulatory concern, not isolated incident). Abu Dhabi entity routing suggests crypto infrastructure now geographically fragmented post-regulation (validates Articles 162/180 on regulatory arbitrage infrastructure development).

What’s Next?

Monitor Binance response to regulator requests: if provides satisfactory evidence of reverse solicitation criteria met, validates workaround sustainability; if regulators unsatisfied, validates enforcement/fines imminent. Watch for ESMA/national enforcement actions: if issue fines (validates Articles 162/165 on policy enforcement materializing), validates that reverse solicitation strategy riskier than company expects. Track MiCA authorization progress: if Binance obtains licence (validates regulatory pathway), validates long-term EU presence; if continues to fail, validates exit thesis. Monitor smaller crypto companies: if also face enforcement (validates systemic regulatory crackdown), validates that regulators closing MiCA loopholes broadly. Track Abu Dhabi regulatory response: if strengthens oversight of Binance entity (validates Articles 162 on regulatory coordination), validates geopolitical compliance ripple effects. Watch Binance customer flows: if decline (validates users concerned about regulatory risk), validates business impact from enforcement uncertainty. Monitor MiCA enforcement broadly: if regulators pursue other reverse solicitation abusers, validates that Binance not isolated target. Finally, track crypto exchange consolidation: if enforcement reduces Binance EU presence (validates market share redistribution), validates regulatory impact on industry structure.

Affected Tickers and Coins: BTC | ETH | Binance | ESMA | Dutch AFM

Source: Financial Times

Previous Post

RSM Explores IPO to Compete with PE-Backed Rivals; 5th US, 7th Global Accounting Firm; Sounding Bankers, Revamping Systems; Grant Thornton/Baker Tilly PE-Owned; CBIZ July 2026 $5B Grant Thornton Acquisition; Andersen Dec 2026 IPO $6B Market Cap; RSM H&R Block Period 2001-2011; CEO Becker Keeping Options Open

Next Post

UBS Pushes Back Against Artisan Partners’ Call to Leave Switzerland; 90% CET1 Requirement ($56B→$72B); Upper House Rejects Compromise; Cevian Also Urging Relocation; Credit Suisse 2023 Takeover Context; Political Capital Rules Pressure; 1.8% Stake ($3B Value)

Recommended For You

Two Traders Say the Bitcoin Bounce Is Shorts Closing, and the Flow Data Agrees

by Team Lumida
5 hours ago
Crypto Startups Are Still Being Funded at Last Year’s Pace. Almost No New Crypto Funds Are Being Raised

$2.3 billion entered spot funds in a month, most of it into one product, without rising volume.

Read more

Bitcoin Holds Near $83,000 as SpaceX and Super Micro Revive the AI Trade, With the Fed a Week Away

by Team Lumida
14 hours ago
Bitcoin Could Drop to $50K Before a Potential Fed-Driven Rally

Bitcoin rose 1.3% as strong AI earnings lifted Asian tech, but it still needs to clear $84,000 before the Fed's Oct. 27 and 28 meeting.

Read more

Reg Crypto Comments Close With 100+ Letters, and Even Its Supporters Say the Safe Harbor Is Too Narrow

by Team Lumida
14 hours ago
U.S. Securities and Exchange Commission seal against an orange block background

As the SEC's Regulation Crypto Assets comment period closes, Hyperliquid's policy group, AIMA and SIFMA all want changes before it becomes final.

Read more

HSBC Says Ripple’s 24/7 Stock Swaps Need Depth First, and Saturday’s $52 Million Chip-Stock Wipeout Showed Why

by Team Lumida
14 hours ago
Ripple Adds Stripe-Owned Privy Wallets to XRP Ledger; AI Agent Payments Reach 14.3M Transactions but Total Value Under $600K Raises Questions About Economic Substance

Ripple Prime now offers round-the-clock swaps on 100+ markets, but HSBC expects basis traders, not hedgers, to dominate until liquidity deepens.

Read more

One Fund Took $665 Million While the Rest of the Bitcoin ETFs Lost $139 Million

by Team Lumida
2 days ago
Crypto Startups Are Still Being Funded at Last Year’s Pace. Almost No New Crypto Funds Are Being Raised

BlackRock's bitcoin fund had its best day in a year. Its ether fund drove 92% of that complex's outflows.

Read more

A Wallet Untouched Since 2013 Moved $34 Million, and Spent Years Ignoring Dust Sent by Scammers

by Team Lumida
3 days ago
A Wallet Untouched Since 2013 Moved $34 Million, and Spent Years Ignoring Dust Sent by Scammers

Address poisoning costs the attacker a fraction of a cent and can cost the holder everything.

Read more

XRP’s Total Market Value Is Down 3% Since 2017. Its Price Is Down 62.5%. The Difference Is Supply

by Team Lumida
6 days ago
XRP’s Total Market Value Is Down 3% Since 2017. Its Price Is Down 62.5%. The Difference Is Supply

Circulating tokens grew 63%. Holders didn't lose because the asset failed — their share of it shrank.

Read more

Zcash Rose 11% While Its Only US ETF Lost $15 Million, Which Tells You Who Is Not Buying

by Team Lumida
6 days ago
Zcash Rose 11% While Its Only US ETF Lost $15 Million, Which Tells You Who Is Not Buying

Solana gained 3% on the ninth straight day of fund withdrawals. The bounce is happening outside the regulated vehicles.

Read more

Bitcoin Climbs Toward $84K After Fed’s Williams Signals No Rate Hikes in 2027; ZEC Led Altcoin Bounce; Chipmakers Snap 5-Day Losing Streak

by Team Lumida
1 week ago
Bitcoin’s Hopes Dashed: China’s Stimulus Shortfall

Bitcoin +1.5% to $83,900 on Fed's Williams dovish signal (no rate hikes in 2027). ZEC +7%; SOL, DOGE +2.5%; ETH +2%. Samsung, SK Hynix recover after 5-day loss...

Read more

Solana Schedules Oct 21 Alpenglow Upgrade for 150ms Finality; Validator Vote Removal May Sharply Drop Headline Transaction Counts Even if User Activity Stays Flat

by Team Lumida
1 week ago
Solana Schedules Oct 21 Alpenglow Upgrade for 150ms Finality; Validator Vote Removal May Sharply Drop Headline Transaction Counts Even if User Activity Stays Flat

Solana Alpenglow upgrade Oct 21 (epoch 1064, ~15:00 UTC). Target: 150ms finality. Replaces TowerBFT voting system. Vote transactions removed from blocks → headline transaction count may plummet even...

Read more
Next Post
UBS Pushes Back Against Artisan Partners’ Call to Leave Switzerland; 90% CET1 Requirement ($56B→$72B); Upper House Rejects Compromise; Cevian Also Urging Relocation; Credit Suisse 2023 Takeover Context; Political Capital Rules Pressure; 1.8% Stake ($3B Value)

UBS Pushes Back Against Artisan Partners' Call to Leave Switzerland; 90% CET1 Requirement ($56B→$72B); Upper House Rejects Compromise; Cevian Also Urging Relocation; Credit Suisse 2023 Takeover Context; Political Capital Rules Pressure; 1.8% Stake ($3B Value)

10 Reasons Investors Are Driving Government Bond Yields Higher; Bloomberg Analysis; 10-Year Treasury 5.31% (2007 High); 30-Year Yields Risk 6%; Global Bonds -2.7% YTD vs Equities +13%; Hyperscaler Borrowing $400B; Fiscal Deficits $40T US Debt; Defense Spending Record; Japan Carry-Trade Unwind

10 Reasons Investors Are Driving Government Bond Yields Higher; Bloomberg Analysis; 10-Year Treasury 5.31% (2007 High); 30-Year Yields Risk 6%; Global Bonds -2.7% YTD vs Equities +13%; Hyperscaler Borrowing $400B; Fiscal Deficits $40T US Debt; Defense Spending Record; Japan Carry-Trade Unwind

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Related News

China’s Financial Overhaul: Xi’s Strategy to Rebalance $9.1 Trillion Debt Crisis

China’s Semi-Finished Steel Exports Surge Over 300% Amid Global Trade Barriers

August 26, 2025
OpenAI Hack: Why AI Companies Are Prime Targets for Cyberattacks

OpenAI Recruits OpenClaw Creator to Accelerate “Personal Agent” Push While Keeping Project Open Source

February 16, 2026
Bitcoin Could Drop to $50K Before a Potential Fed-Driven Rally

Bitcoin Traders Use Put Options to Accumulate BTC, Signaling Long-Term Bullish Sentiment

April 24, 2025

Subscribe to Lumida Ledger

Browse by Category

  • Lifestyle
    • Family Office
    • Health and Longevity
    • Legacy
    • Next Gen Wealth
    • Trust, Tax, and Estate
  • News
    • Alt Assets
    • Crypto
    • Equities
    • Latest
    • Macro
    • Markets
    • Real Estate
  • Opinions
    • Investing Philosophy
    • Op-Ed
  • Research
    • Trackers
  • Themes
    • Aging & Longevity
    • AI
    • Biotech
    • CRE
    • Cybersecurity
    • Digital Assets
    • Legacy Brands
    • Nuclear Renaissance
    • Private Credit
    • Software
Facebook Twitter Instagram Youtube TikTok LinkedIn
Lumida News

Premium insights to help you invest beyond the ordinary. Lumida Wealth Management LLC (‘Lumida”) is an SEC registered investment adviser

CATEGORIES

  • Aging & Longevity
  • AI
  • Alt Assets
  • Biotech
  • CRE
  • Crypto
  • Cybersecurity
  • Digital Assets
  • Equities
  • Family Office
  • Health and Longevity
  • Investing Philosophy
  • Latest
  • Legacy
  • Legacy Brands
  • Lifestyle
  • Macro
  • Markets
  • News
  • Next Gen Wealth
  • Nuclear Renaissance
  • Op-Ed
  • Private Credit
  • Real Estate
  • Software
  • Themes
  • Trackers
  • Trust, Tax, and Estate

BROWSE BY TAG

AI AI chips Amazon Apple Artificial Intelligence Banking Bank of America Bitcoin China Commercial Real Estate CPI Crypto Donald Trump EARNINGS ELON MUSK Ethereum Federal Reserve financial services generative AI Goldman Sachs Google India Inflation Interest Rates Investment Strategy Japan Jerome Powell JPMorgan Markets Meta Microsoft Nasdaq Novo Nordisk Nuclear Energy Nvidia oil OpenAI private equity S&P 500 SEC stock market Tech Stocks tesla Trump Whale Watch

© 2025 Lumida Wealth Management LLC is an SEC registered investment adviser. Privacy Policy. Cookies Policy.
Disclaimer Important Information This site is for informational purposes only. Information presented on this site does not constitute as investment advice.

Lumida Wealth Management LLC (‘Lumida”) is an SEC registered investment adviser. SEC registration does not constitute an endorsement of the firm by the Commission nor does it indicate that the adviser has attained a particular level of skill or ability.

Lumida's website (referred to herein as the "Website") is limited to the dissemination of general information pertaining to its advisory services, together with access to additional investment-related information, publications, and links. Accordingly, the publication of the Website on the Internet should not be construed by any client and/or prospective client Lumida’s solicitation to effect, or attempt to effect transactions in securities, or the rendering of personalized investment advice for compensation, over the Internet.

Any subsequent, direct communication by Lumida with a prospective client will be conducted by a representative that is either registered or qualifies for an exemption or exclusion from registration in the state where the prospective client resides.

‍Lead Capture Forms: By submitting your contact information in the forms on this site, you are not obligated to invest in Lumida's product or services.
‍Address: Lumida Wealth Management, 25 W 39th Street Suite 700, New York, NY 10018

No Result
View All Result
  • Home
  • Earnings
  • News
    • Alt Assets
    • Crypto
    • Equities
    • Macro
    • Markets
    • Real Estate
  • Lifestyle
    • Family Office
    • Health and Longevity
  • Themes
    • Aging & Longevity
    • AI
    • CRE
    • Digital Assets
    • Legacy Brands
    • Nuclear Renaissance
    • Private Credit
  • About Us

© 2025 Lumida Wealth Management LLC is an SEC registered investment adviser. Privacy Policy. Cookies Policy.
Disclaimer Important Information This site is for informational purposes only. Information presented on this site does not constitute as investment advice.

Lumida Wealth Management LLC (‘Lumida”) is an SEC registered investment adviser. SEC registration does not constitute an endorsement of the firm by the Commission nor does it indicate that the adviser has attained a particular level of skill or ability.

Lumida's website (referred to herein as the "Website") is limited to the dissemination of general information pertaining to its advisory services, together with access to additional investment-related information, publications, and links. Accordingly, the publication of the Website on the Internet should not be construed by any client and/or prospective client Lumida’s solicitation to effect, or attempt to effect transactions in securities, or the rendering of personalized investment advice for compensation, over the Internet.

Any subsequent, direct communication by Lumida with a prospective client will be conducted by a representative that is either registered or qualifies for an exemption or exclusion from registration in the state where the prospective client resides.

‍Lead Capture Forms: By submitting your contact information in the forms on this site, you are not obligated to invest in Lumida's product or services.
‍Address: Lumida Wealth Management, 25 W 39th Street Suite 700, New York, NY 10018