Binance Holdings Ltd., the cryptocurrency exchange company founded by Changpeng “CZ” Zhao in 2017, is withdrawing its application for a license to operate in Germany. Allegedly, the company made the decision to abandon its crypto license application after facing rejection from German regulators.

Binance will now make its exit from the country due to this new setback. It was reported that the company’s application was already denied by the German Federal Financial Supervisory Authority (BaFin) almost a month ago. With this negative result, Binance just withdrew its application to be allowed to operate in Germany.

The crypto firm confirmed to CoinTelegraph that it has pulled out its license application, but its spokesperson said Binance still has plans to re-apply. In an effort to get approval, Binance will revise its documents to comply with the regulatory environment in the country.

“Binance confirms that it has proactively withdrawn its BaFin application,” the company told the publication. “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.“

Meanwhile, Decrypt reported that prior to its withdrawal from Germany, Binance also took back its license applications in the Netherlands, Austria, and Cyprus. In June, the company also lost its partnership deal with PaySafe, its European banking partner.

The company is facing more obstacles outside of Europe as it has also received restrictions from Australian regulators for its exchange operations. In Canada, Binance already discontinued its business for similar issues with the local crypto watchdogs.

Then again, Binance said it will be fully complying with European Union’s Markets in Crypto Assets (MiCA) bills that are set to be put into practice in 2024. But for now, it has exited and withdrawn its crypto license in major European countries.

Photo by: Kanchanara/Unsplash