The Dutch central bank (DNB) fined the cryptocurrency exchange Binance €3.32 million ($3.37 million). The reason was the absence of a license to operate, it states in the regulator’s statement.
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“Companies intending to offer cryptocurrency-related services in the Netherlands must register with the DNB,” the central bank said.
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According to the regulator’s press release, Binance’s global trading volumes and the number of local users were taken into account. The increase from €2 million was driven by the prolonged period of violations in the country—from May 21, 2020 at the earliest to December 1, 2021.
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“Nevertheless, the DNB reduced the fine by 5% because the exchange filed an application for registration, and because Binance was relatively transparent about its business operations throughout the process,” the central bank officials added.
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In August 2021 the regulator stated that there was no registration for the bitcoin exchange. The platform’s representatives said at the time that the company was in the process of submitting an application.
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Earlier the United Kingdom’s Financial Conduct Authority prohibited Binance Markets Limited from any regulated activity in the country without prior approval.
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Warnings for investors regarding the exchange were also issued by authorities in Italy, Poland, Japan, Thailand, Hong Kong, Singapore, South Africa and a number of other countries.
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In September 2021, Binance’s CEO Changpeng Zhao announced the abandonment of the ‘decentralised’ business model.
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In July 2022, Binance obtained a digital asset services provider license in Spain. This jurisdiction became the third in the EU after France and Italy, where the exchange secured approvals from local regulators.
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This year, the company’s operations were supported by authorities in Bahrain, Dubai and the free financial zone in Abu Dhabi. Binance also announced the launch of a regulated exchange in Thailand and announced the opening of a customer support centre in Turkey.
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In June 2022, Coinbase required users in the Netherlands to provide enhanced transaction information.
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ForkLog explained what Binance is all about in educational cards.
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