Coinbase · Binance · Crypto exchanges
Coins frozen? Withdrawal locked? MiCA and BaFin are your levers.
KYC holds, withdrawal locks, frozen balances, halted payouts: with MiCA-licensed providers in the EU, clear duties apply. With Coinbase Europe, BaFin complaint is possible.
Coinbase Europe Ltd. (Irland) / Binance · EU/MiCA – BaFin bei Coinbase
Typical crypto suspensions
- KYC hold tying up 5- to 6-figure balances
- Withdrawal lock after sudden source-of-funds audit
- Account closure for source-of-wealth allegations despite full evidence
- Frozen coins for Tornado Cash suspicion without specific facts
- Geo block despite EU jurisdiction of the licence
- Tax double-reporting with suspension as leverage
- OnRamp provider suspension by a third party (Stripe, banking back-end)
- Sudden lock on large withdrawals without prior warning
Legal levers
MiCA applies fully since December 2024. Coinbase Europe Ltd. (Ireland) is within BaFin oversight. Binance has no EU MiCA licence - which changes the levers but does not weaken them.
MiCA Art. 75
Proper safekeeping obligation
Licensed CASPs must segregate client crypto and release it on request. Generic holds without legal basis breach MiCA Art. 75 - a lever also vis-à-vis BaFin.
§ 280 BGB
Damages for hold losses
On unlawful hold you have a damages claim for default plus consequential damages (lost trading gains, price losses during the hold).
GDPR Art. 22
Ban on solely automated decisions
Crypto compliance AI often suspends without human oversight. With sizeable holds that's unlawful under ECJ C-634/21.
BaFin complaint
Regulatory escalation
Coinbase Europe is under BaFin (via CSSF/BaFin cooperation). We use the BaFin complaint as leverage - often faster than litigation and with regulatory weight.
AMLD / GwG
Document source of funds correctly
AML duties are real - but proportionate. We help deliver complete source-of-funds documents and rebut AML allegations on a sound legal basis.
Brussels Ia Art. 18
Sue at consumer's home court
Against Coinbase Europe Ltd. consumers sue at home. With Binance the picture is more complex - we assess the right venue case by case.
How we proceed
- 01
Evidence & documentation
We secure suspension notice, transaction history, source-of-funds documents, and correspondence. With large balances complete documentation is decisive.
- 02
Source of Funds + compliance reply
Structured reply to the platform with all required AML documents. With lawful sources that often suffices to release.
- 03
Lawyer letter + BaFin complaint
On stalling in parallel: lawyer letter with deadline + BaFin complaint (Coinbase). For Binance, CySEC or other regulators depending on domicile.
- 04
Injunction or court action
On stalling and imminent loss, an injunction to release the coins. With large balances often decisive given volatility.