Binance Co-CEO: After the suspension of services in the EU, about 70% of users have transferred withdrawals to self-custody wallets

According to The Block, Binance Co-CEO Richard Teng stated at the Reuters NEXT Asia summit in Singapore that after Binance suspended services to some EU users, about 70% of users' withdrawal assets flowed to self-custody wallets, with only 30% transferred to licensed platforms that comply with MiCA regulatory requirements.

Richard Teng indicated that this data raises questions about the regulatory goals of MiCA. He pointed out that self-custody wallets are not subject to the anti-money laundering (AML) and KYC regulatory frameworks of regulated trading platforms, and the risk may actually increase once user assets are transferred to self-custody.

Previously, Binance proactively withdrew its application for a MiCA license in Greece after it failed to be approved before the July 1 transition deadline, and suspended related services to affected EU users. Richard Teng stated that Binance has not given up on the European market, and several EU countries have invited it to reapply for local licenses, although he did not disclose specific countries.

In addition, Richard Teng mentioned that Binance plans to continue accelerating its expansion in the Asian market, having already obtained relevant licenses or permissions in markets such as Japan, South Korea, Thailand, Indonesia, Australia, India, and Pakistan, and expects to gain more regulatory approvals this year. Currently, Binance's global user base has increased to approximately 323 million.