The post ESMA Launches Custody Audits for EU Crypto Platforms Following MiCA Implementation appeared on BitcoinEthereumNews.com.
Key Highlights European regulators initiate coordinated custody audits following MiCA’s full activation. Crypto service providers undergo scrutiny on client asset safeguarding mechanisms. Examination covers private key management, governance structures, and transaction oversight. MiCA framework transitions from registration phase to active compliance verification. Comprehensive findings expected by 2027 to identify custody vulnerabilities across member states. European securities regulators have initiated a comprehensive custody examination targeting crypto firms operating under the new MiCA regulatory framework. The investigation evaluates how licensed providers safeguard customer holdings and address operational vulnerabilities. This coordinated effort aims to establish uniform protection standards throughout the European Union. Pan-European Custody Investi
The post Bitcoin Self-Custody Draws 70% of EU Funds Leaving Binance Under MiCA appeared on BitcoinEthereumNews.com.
Crypto News Bitcoin and other digital assets are flowing into self-hosted crypto wallets rather than licensed exchanges as the European Union’s Markets in Crypto-Assets (MiCA) regime reshapes the region, according to Binance co-CEO Richard Teng. Speaking at an industry summit in Singapore, Teng said 70% of the funds withdrawn by affected EU users moved into self-custody, while only 30% shifted to platforms licensed under the new rules. His argument is that MiCA, designed to pull users under regulatory oversight, is instead pushing them beyond regulators’ reach. That 70-30 split has become the central data point anchoring his critique of how the framework is playing out. The shift traces back to Binance’s decision to withdraw its MiCA license application in Greece in late June, after which the exchange stopped onboarding new EU customers on July 1. Teng said approval had b
The post Binance CEO Says MiCA Is Backfiring as EU Users Move Beyond Regulators’ Reach appeared on BitcoinEthereumNews.com.
Binance co-CEO Richard Teng says the EU’s Markets in Crypto-Assets (MiCA) rules are backfiring, with most departing users moving funds into self-custody rather than to licensed rivals. Speaking at the Reuters NEXT Asia summit in Singapore, Teng said 70% of funds withdrawn by affected EU users went to self-hosted wallets. Only 30% moved to platforms licensed under the new regime. Binance Withdrew its MiCA Bid Before the July Deadline Binance stopped serving new EU customers on July 1 after pulling its MiCA license application in Greece in late June. Teng said the approval was repeatedly delayed without explanation, so the company withdrew to avoid a rushed transition for users. The exit forced existing customers to decide where to move their balances, and it coincided with its heaviest weekly outflows in more than three years. Binance’s own data on those flows now
The post AscendEX Halts Operations July 1 After Failing MiCA License, ETH Wallets Left Near Empty appeared on BitcoinEthereumNews.com.
Crypto News The centralized crypto exchange AscendEX ceased all operations effective July 1, 2026, and warned users it cannot guarantee full recovery of their balances. The exchange published its official notice on July 6, five days after halting trading, citing MiCA compliance requirements, a failed strategic transaction, and deteriorating market conditions. In our reading, the sequencing matters: the platform stopped serving customers before it explained why, leaving deposits, swaps and staking frozen. AscendEX said it is assessing options for account holders while cautioning it cannot promise withdrawal timing or amounts. For an altcoin-heavy user base, that uncertainty over locked funds is the immediate and unresolved concern. Regulation sits at the center of the collapse. The European Union’s Markets in Crypto-Assets framework, known as MiCA, took
The post Hong Kong SFC Phases Out OTP Logins for Crypto Platforms appeared on BitcoinEthereumNews.com.
Hong Kong’s SFC orders stronger login controls for brokerages and crypto platforms. OTP-based security faces phaseout as phishing and spoofing attacks target accounts. HKCERT recorded 15,877 cyber incidents in 2025, with phishing making up 57%. Hong Kong’s market regulator has moved against rising account impersonation risks, ordering internet brokerages and licensed virtual asset platforms to strengthen customer authentication. The Securities and Futures Commission (SFC) said the measure targets spoofing, stolen login data, and fraudulent device binding, all of which can expose customers to fast-moving account takeovers. SFC Moves Brokerages Beyond OTP-Based Account Security The directive applies to internet brokerage firms and SFC-licensed virtual asset trading platform operators. It requires firms to stop depending on one-time passwords for customer login and device binding. The re
The post Hong Kong SFC forces crypto platforms to ditch SMS authentication appeared on BitcoinEthereumNews.com.
The Hong Kong Securities and Futures Commission has ordered licensed crypto trading platforms and online brokers to replace SMS-based authentication with phishing-resistant login methods within the next 12 months. Summary Hong Kong’s SFC has banned SMS-based authentication for licensed crypto platforms and online brokers. Firms have 12 months to adopt phishing-resistant login methods such as passkeys and hardware security keys. The move comes as phishing scams accounted for $306 million in crypto losses during Q1 2026. According to the Hong Kong Securities and Futures Commission (SFC), virtual asset trading platforms (VATPs) and online brokers must stop relying on one-time passwords delivered through SMS, email, or app-generated codes and instead adopt stronger authentication systems that are harder for attackers to compromise. The regulator announced the new cybersecurity re
The Hong Kong Securities and Futures Commission has ordered licensed crypto trading platforms and online brokers to replace SMS-based authentication with phishing-resistant login methods within the next 12 months. According to the Hong Kong Securities and Futures Commission (SFC), virtual…
