Binance will suspend some services for customers across the European Union from July 1 after failing to obtain a licence under the bloc’s Markets in Crypto Assets regulation.

The world’s largest crypto exchange has begun notifying affected users that it will stop accepting new registrations and restrict existing accounts to closing positions and withdrawing funds.

Binance said customer assets remain safe and accessible and clarified that it is not requiring every user to withdraw their funds before the deadline.

Customers in France, Italy, Spain and Poland, where Binance currently operates under local registrations, have received notices explaining the changes to their accounts.

The restrictions follow Binance’s decision to withdraw its MiCA application in Greece after the approval process failed to conclude before the June 30 deadline.

Under MiCA, crypto companies must obtain authorization from a regulator in at least one EU member state to provide services across the 27 country bloc. Companies without a licence must begin winding down their European operations.

Spain’s securities regulator said Friday that it would grant no extensions or exemptions to companies that miss the deadline. Customers will no longer be permitted to execute new transactions through unauthorized platforms after June 30.

Binance previously said it believed its application met MiCA requirements and had been reviewed at both the Greek and European levels. However, regulators reportedly raised concerns about the exchange’s corporate structure, compliance history and senior leadership.

The exchange now plans to seek authorization through another EU member state. Binance said it expects to secure a licence in the coming months and maintained that it is not abandoning the European market.