Binance said it revised operations to comply with EU standards after carefully considering feedback from the community and several projects.
Binance has decided to reverse its plan to delist several privacy coins in Europe after revising operations to comply with local regulations.
In a comment from the cryptocurrency exchange received on June 26, Binance said:
“After carefully considering feedback from our community and several projects, we have revised how we classify privacy coins on our platform to comply with EU-wide regulatory requirements.“
It also commented that since it operates as an exchange registered in various European Union jurisdictions, it is “obliged” to follow local regulations that require exchanges to “be able to monitor transactions for coins listed on our platform.“
Initially, Binance was to delist privacy tokens for users in France, Italy, Spain and Poland, rendering them unable to buy or sell 12 privacy tokens beginning on June 26.
The coins affected by the decision were to include: Decred (DCR), Dash (DASH), Zcash (ZEC), Horizen (ZEN), PIVX (PIVX), Navcoin (NAV), Secret (SCRT), Verge (XVG), Firo (FIRO), Beam (BEAM), Monero (XMR) and MobileCoin (MOB).
However, since the decision has been retracted, various projects have taken to Twitter to reassure community members. Verge Currency posted its update as early as June 22:
We are pleased to inform you that $XVG will remain unaffected by @binance‘s trading restrictions on #privacy coins in certain EU countries.
Verge utilizes a public #blockchain with visible transactions, amounts, and wallet addresses. #vergefam #crypto #ISO20022
— VergeCurrency (XVG) (@vergecurrency) June 22, 2023
The Secret Network also posted an update saying it is among the currencies in which Binance will not delist.
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These decisions from Binance come as the EU has been ironing out its standards for digital assets with its new Markets in Crypto-Assets (MiCA) regulations, which were signed into law on May 31.
With clear-cut regulations, EU policymakers aim to make Europe a hub for crypto and digital assets. In July, the European Securities and Markets Authority plans to launch a MiCA consultation process, with the framework for the laws allowing an 18-month timeline to take full effect.
Companies in the industry, such as cryptocurrency payments service provider Ripple, have welcomed the regulatory clarity from MiCA regulations.
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