Binance is set to exit the Netherlands after its attempts to secure a virtual asset service provider (VASP) license failed.
Starting from today, the crypto exchange is no longer registering new users residing in the country. It is also sending emails to existing users with information regarding their accounts and any assets they currently have on the platform, Binance said in a recent announcement.The company didn’t give a reason for why it was unable to receive a license from regulators.
The company added that starting July 17, trading in the Netherlands will be halted and existing users will only have the option of withdrawing funds from its platform. Binance recommended that users withdraw their assets from their accounts. The Dutch central bank, which is responsible for authorizing new virtual asset services providers, was not immediately available for comment.
Under the current regulatory regime, Binance can only get approval to operate in an EU country by registering under its money laundering prevention rules.
Europe has generally been receptive to crypto exchanges and their anti-money laundering efforts. Binance is already AML compliant in France, Italy, Spain, Poland, Sweden and Lithuania. Two days ago, the exchange said it planned to leave Cyprus to focus on becoming fully compliant with the new European Union rules on crypto-assets (MiCA).The exchange said it will continue to engage with Dutch regulators.
However, recently, Binance announced the launch of a new blockchain hub in Georgia, dubbed “Web3 outpost,” in a bid to help it strengthen blockchain education and accelerate the adoption of crypto in the region