Binance is leaving the Netherlands

Crypto giant, Binance, is leaving the Netherlands. According to a blog post by the company, it stated that it was not able to register as a virtual asset service provider (VASP) with the Dutch regulator. It said it has been in a comprehensive registration application process and has “explored many alternative avenues to service Dutch residents in compliance with Dutch regulations, unfortunately this has not resulted in a VASP registration in the Netherlands at this time.”

It however said that it would continue striving to obtain authorizations to provide its products and services to users in the Netherlands.

Binance reiterated in its post that it 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. It added that it would continue to work collaboratively with regulators around the world and is additionally focused on getting its business ready to be fully compliant with the new EU rules on crypto-assets (MiCAR).

Binance stated that “with immediate effect, no new users residing in the Netherlands will be accepted. Starting from 2023-07-17 at 00:00 UTC (2023-07-17 at 02:00 UTC+2), existing Dutch resident users will only be able to withdraw assets from the Binance platform. No further purchases, trades or deposits will be possible. We encourage users to take appropriate action by withdrawing assets from their Binance accounts.”

Binance said that existing Dutch resident users are being sent an email with comprehensive information about what this means for their accounts and any assets they currently have on the Binance platform, alongside any steps they will need to take.

“While Binance is disappointed that this has become necessary, it will continue to engage productively and transparently with Dutch regulators.”

The Cryptocurrency giant has been facing a lot of issues globally in several markets in recent times. Some days ago, the Nigeria’s Securities and Exchange Commission (SEC), the regulatory institution of the Nigerian capital market and supervised by the Federal Ministry of Finance, issued a circular describing Binance’s operations illegal.

According to the regulatory body, “Binance Nigeria Limited is neither registered nor regulated by the Commission and its operations in Nigeria are therefore illegal.” It also cautions members of the investing public dealing with the entity to do so at his/her own risk.

Some days ago also, the U.S. Securities and Exchange Commission this week sued Binance and its CEO Changpeng Zhao for misleading investors, operating what it calls an ‘extensive web of deception.’