Is The EU Going to War With Crypto? EU Threatens to Pull OKX License Over Bybit Hack

The ongoing EU crypto investigation into OKX for allegedly laundering $100 million from the Bybit hack in February 2025 has put the exchange’s MiCA license at risk. European regulators are scrutinizing OKX’s decentralized trading and self-custody offerings, which they claim were used by the Lazarus Group to launder stolen funds. The fallout from the Bybit hack has raised questions about regulatory oversight and compliance under the MiCA framework. If OKX is found guilty, it may face heavy penalties and stricter compliance requirements. This could set a precedent for regulators to become more involved in decentralized solutions, potentially limiting competition and innovation in the crypto space. The loss of OKX’s license could have significant implications for crypto investors and deter other firms from operating in the EU.