Regulators invited Binance to seek new licenses after MiCA setback, co-CEO says

[Oshosondy]

This is what Binance co-CEO, Richard Teng said, but he added that the talks are still premature. He declined to identify the jurisdictions that invited the exchange.

That is not where I am going but you can ready the news on https://cointelegraph.com/news/regulators-invite-binance-seek-new-license-mica-setback-teng

Also on the news you will see this:

EU users withdraw assets to self-custody

Teng argued that many European users opted for self-custody rather than transferring their assets to MiCA-authorized exchanges.

People can not change, they are only following what the exchanges are saying. The exchanges said they should move their coins to noncustodial wallet and they did. Which indicates that they are not using the money to trade but they just left it on Binance for no other reasons than to hold it there. If not because Binance was not given MiCA license, their coins will always be on Binance. If Binance is given license, it is very possible that they will move the coins back to Binance.

[batang_bitcoin]

I don't think that many of those users will deposit back to binance if ever they're given the license. It's one of the lessons that many are starting to learn that if they're being instructed to withdraw their funds so that they have the whole custody to it, they're going to love it. For many hacks have been reported to exchanges and that will give them the authority to their own funds. They should have learn that long time ago not only when binance tells them to do it. So whether the license is given to them or not, I think that many of these users have already understood the importance of keeping their own funds to themselves.

[MarryWithBTC]

I don't think that many of those users will deposit back to binance if ever they're given the license. It's one of the lessons that many are starting to learn that if they're being instructed to withdraw their funds so that they have the whole custody to it, they're going to love it. For many hacks have been reported to exchanges and that will give them the authority to their own funds. They should have learn that long time ago not only when binance tells them to do it. So whether the license is given to them or not, I think that many of these users have already understood the importance of keeping their own funds to themselves.

.
These users do not use centralized exchanges because they do not understand the importance of self custody. I can bet that the majority of the people who were asked to withdraw their funds to private wallets didn't do exactly the same, they might have sent those coins to other exchanges.

Some people are just scared of self custody, they would rather sign up to an exchange that will ask them for email and kyc to recover their funds anytime they need. The fear of self custody is the case.
While some are their to take advantage of some opportunities. So, they are returning in their numbers.

[examplens]

People can not change, they are only following what the exchanges are saying. The exchanges said they should move their coins to noncustodial wallet and they did. Which indicates that they are not using the money to trade but they just left it on Binance for no other reasons than to hold it there. If not because Binance was not given MiCA license, their coins will always be on Binance. If Binance is given license, it is very possible that they will move the coins back to Binance.

Maybe they just haven't explored other options enough, so until they do, they'll prefer to keep their coins on their own.
I wouldn't be surprised if such user behavior prompted the EU side to consider making it easier to adapt to Binance's regulations. Governments have much better insight into personal finances through Binance than if people keep their money in non-custody and out of the view of the authorities.

[rat03gopoh]

If Binance is given license, it is very possible that they will move the coins back to Binance.

If the self-custody trend is more favorable for users due to MiCA regulations, I don't think they will return to Binance until they find a more favorable licensing option that still allows them to serve EU users, at least with less oversight.