Binance Waves Goodbye to the Netherlands as License Bid Falls Short

Binance, the largest cryptocurrency exchange in the world, is departing from the Netherlands after failing to convince the Dutch regulator to grant them a virtual asset service provider (VASP) license, which verifies their compliance with anti-money laundering (AML) guidelines, reports ConiDesk. Starting from July 17, Dutch residents will only have the option to withdraw their funds from the platform, as stated by Binance.

The exchange expressed regret on their website, announcing their departure from the Dutch market and informing that they will not accept new users from the Netherlands. Additionally, existing Dutch users will be limited to asset withdrawals from the Binance platform, with no further ability to make purchases, trades, or deposits.

Binance is currently compliant with AML regulations in several European countries, including France, Italy, Spain, Poland, Sweden, and Lithuania. Recently, they also revealed their intention to leave Cyprus in order to focus on achieving full compliance with the new European Union crypto-assets rules (MiCA). Binance mentioned that they had engaged in an extensive registration application process as a virtual asset service provider with the Dutch regulator. Despite exploring various alternatives to cater to Dutch residents while complying with regulations, they were unable to secure VASP registration in the Netherlands at this time.

The exchange intends to maintain communication with Dutch regulators. Existing Dutch users will receive an email containing detailed information regarding the implications for their accounts and any assets they currently hold on the Binance platform, along with the necessary steps they need to take.