Binance, the world's largest cryptocurrency exchange, is reportedly under scrutiny by EU regulators for its use of the "reverse solicitation" exemption under the EU's Markets in Crypto-Assets (MiCA) regulation, according to the Financial Times. This clause allows Binance to continue serving some European customers without obtaining a license. The European Securities and Markets Authority (ESMA), along with regulators in France, Germany, and Greece, are reviewing whether Binance meets the conditions for this exemption, and enforcement action could be taken if its explanation is rejected.