Binance Is Leaving The Netherlands From July 17 After Legal Difficulties

Key Points:

• Binance is departing the Netherlands after failing to get a VASP license from the Dutch regulator.
• Dutch citizens will only be permitted to withdraw monies from the exchange as of July 17.
• The company said that it has engaged in a complete registration application procedure with the authorities as a virtual asset service provider.

Binance, the world’s largest cryptocurrency exchange, has announced its departure from the Netherlands.

Binance has announced its exit from the Netherlands market. New users from the Netherlands will not be permitted. Existing Netherlands resident users will only be allowed to withdraw assets from the Binance platform beginning July 17 at 00:00 UTC.

The exchange made the decision after failing to convince the Dutch regulator to grant it a virtual asset service provider (VASP) license, which certifies that it follows anti-money laundering (AML) requirements.

The exchange was previously fined €3,325,000 by the Dutch National Bank (DNB) in April 2022 for offering crypto services in the Netherlands without the legally necessary registration with the DNB.

However, Binance insists it is still compliant with crypto regulations in the EU region. The exchange said that it has been in a complete registration application process with the regulator as a virtual asset service provider and that it would continue to cooperate with Dutch authorities.

“Binance is already compliant with EU standards on the prevention of money laundering and financing of terrorism as evidenced by its registrations in other EU countries, including France, Italy, Spain, Poland, Sweden and Lithuania. Binance continues to be committed to working collaboratively with regulators around the world and are additionally focused on getting our business ready to be fully compliant with the new EU rules on crypto-assets (MiCAR),” the exchange said in the blog post.

Current Dutch resident users will get an email with detailed information on what this implies for their accounts and any assets they presently hold on the Binance platform, as well as any actions they must take.

After legal difficulties with the Securities and Exchange Commission, Binance is struggling in the US along with the Coinbase exchange.

The SEC sued the company and its US affiliate for mishandling consumer money and misleading authorities last week. It also attempted to freeze the company’s assets in the United States, which the exchange said would compel it to shut operations in the country.

Binance.US was also reported to have laid off employees following the crackdown from the SEC, as Coincu previously reported.

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Harold

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