TL;DR
- Binance is under investigation by French authorities as part of anti-money laundering inspections ahead of MiCA regulation enforcement.
- Failure to comply could result in sanctions and restrict its operations across the EU.
- BNB holders may face a sell-off, with the token already down 11.73% in the last 24 hours, raising concerns about further price declines.
Binance, the world’s largest cryptocurrency exchange, has come under regulatory scrutiny in France. According to Bloomberg, the French Prudential Supervision and Resolution Authority (ACPR) is conducting inspections to ensure that crypto exchanges meet anti-money laundering (AML) and counter-terrorist financing requirements before the full implementation of the EU’s Market in Crypto Assets (MiCA) rules in June 2026. The investigation also reviews internal governance, reporting systems, and adherence to previous recommendations issued by European regulators.
France Tightens Oversight As MiCA Deadline Nears
With Binance’s European headquarters in France, the company must comply with these regulations to maintain operations across the 27 EU member states. Since 2024, Binance has been required to strengthen its risk management, and the exchange asserts that the current inspections are routine. Still, the ACPR has the authority to impose severe penalties if Binance fails to meet the standards, potentially limiting the exchange’s ability to operate throughout Europe. Only a few entities have successfully navigated the MiCA framework and received licenses so far, emphasizing the challenge ahead. Regulators are also evaluating cross-border transaction monitoring, client verification procedures, and reporting transparency, which are becoming increasingly critical for EU compliance.
BNB Price Faces Pressure Amid Regulatory Uncertainty
The probe has triggered concerns about the impact on Binance Coin (BNB). European investors could respond with sell-offs if restrictions are enforced, creating downward pressure on the token. BNB, which had been moving toward a $1,500 target, is currently trading at $1,042.87, reflecting an 11.73% drop in the past 24 hours.
Earlier in 2024, Binance adjusted its ownership structure, replacing founder Changpeng Zhao with shareholders Lihua He and Yulong Yan to comply with French rules that prevent majority ownership by individuals with criminal records, following Zhao’s U.S. conviction. Analysts are also watching global market trends, liquidity patterns, and investor sentiment as these factors could amplify price volatility further.
Despite the recent setbacks, Binance continues to emphasize compliance and adaptation. Analysts note that while short-term volatility is likely, BNB’s long-term fundamentals remain strong due to the ecosystem’s growing adoption and utility.
