OKX CEO Star Xu publicly disputed Binance founder Qiao Changpeng’s comments regarding the exchange’s failure to obtain a market for cryptocurrencies (MiCA) license in Greece, as the European Union prepares for the full implementation of the MiCA regulatory framework on July 1.
The exchange between the two executives comes at a critical time for Europe’s crypto industry, where crypto service providers are required to operate under MiCA authorization in order to continue offering regulated services across the European Economic Area (EEA).
Star Xu questions Binance’s position on MiCA license
Qiao Changpeng, popularly known as CZ, was told that Binance’s MiCA application in Greece was fully compliant and was close to approval until what he called “other forces” prevented the process from moving forward. After withdrawing its application in Greece last week, Binance announced its intention to seek approval in another European Union member state.
What a huge loss? What is the cost to European regulators and European citizens? What exactly did the Europeans lose? October 11th again?
According to public reports, the company has failed to demonstrate that its AML, sanctions compliance, and market integrity programs are effective and… https://t.co/H4zlUweOMo
— Star_OKX (@star_okx) June 29, 2026
In response to X, Star Xu questioned Zhao’s description of the result as a “loss for Europe.” he asked:
“What a great loss? A loss for European regulators and European citizens alike?”
Xu said there are published reports suggesting that Binance has not demonstrated that its anti-money laundering controls, sanctions compliance measures, and market integrity programs meet regulators’ expectations. He added that the exchange should instead investigate why it failed to receive regulatory approval.
He also said painting Europe as the loser following the withdrawal of the application raised broader questions about the company’s approach to financial regulation and the rule of law.
A growing number of exchanges are MiCA compliant and serve EEA users through licensed EU entities.
According to public reports, Binance continues to serve most users in EEA countries through offshore entities. If that is accurate, it raises important questions such as… https://t.co/UXRf1sccZc
— Star_OKX (@star_okx) June 29, 2026
In a separate post, Xu said more crypto exchanges are choosing to become MiCA compliant by serving EEA customers through licensed European entities. He also said that if public reports claiming that Binance continues to serve users in most EEA countries through offshore entities are accurate, further regulatory questions will arise.
Xu then responded to criticism over the way the MiCA withdrawal was presented, calling Binance’s public message another example of “misleading the public through false or misleading statements.”
Binance announces nearing approval
In an interview, Chao said two European Union countries have expressed interest in hosting Binance’s MiCA application, explaining that licensing discussions involve “back and forth” between jurisdictions.
He said there was competition between the two EU member states regarding Binance’s application, and claimed that approval was ultimately blocked by external opposition.
Mr. Zhao also referred to online claims suggesting that European Central Bank President Christine Lagarde influenced the licensing decision. He said he had seen such reports circulating but had no documentation or direct evidence to support those claims.
Binance co-CEO Richard Teng reiterated that the company remains committed to securing MiCA licenses in the coming months. The exchange also said access to customer assets will continue while it adjusts services for European users during the regulatory transition.
July 1st MiCA deadline marks important regulatory milestone
The public disagreement comes just ahead of the European Union’s July 1 deadline to implement MiCA, under which crypto companies operating without a license must stop offering certain regulated crypto services unless they receive approval from regulatory authorities in member states.
Under MiCA, licensed crypto asset service providers can use passporting rights to legally offer services to all EU member states after obtaining authorization in a single jurisdiction. The framework is designed to create a unified regulatory regime for the European cryptocurrency market.
According to the latest available figures, the regulator had approved 244 MiCA licenses as of Monday. Germany received the most approvals among member states with 57, while Greece, Hungary, Poland, Portugal and Romania had not yet issued a MiCA license.
The approaching regulatory deadline is expected to accelerate licensing efforts among crypto exchanges seeking uninterrupted access to European markets under the bloc’s new regulatory framework.
Spain recently confirmed that it will not extend the July 1st MiCA deadline that requires unlicensed crypto companies to suspend regulated services. The decision strengthens the EU’s rollout of MiCA as companies race to win regulatory approval.
