Binance, the world's largest cryptocurrency exchange, is leaving the Netherlands after failing to persuade its Dutch regulator to issue a virtual asset service provider (VASP) license that shows it meets anti-money laundering (AML) guidelines.
Binance Leaves The Netherlands Because It Can't Get a License
An attempt to obtain a virtual asset service provider (VASP) license from the Dutch regulator of the crypto exchange has failed.
According to the statement made by the exchange, as of July 17, Dutch residents will only be able to withdraw their funds from the platform.
“We regret to announce that Binance is leaving the Dutch market,” Binance said on its website. "This unfortunately means that from today no new users residing in the Netherlands will be accepted.
From July 17, 2023, existing users residing in the Netherlands will only be able to withdraw their holdings from the Binance platform. No other purchases, sales or deposits will be made.
We encourage these users to take appropriate action by withdrawing assets from their accounts."
Europe has generally been open to crypto exchanges and their anti-money laundering efforts. Binance is currently AML compliant in France, Italy, Spain, Poland, Sweden and Lithuania.
Two days ago, the exchange said it plans to leave Cyprus to focus on fully complying with the new European Union rules (MiCA) regarding cryptoassets.
Binance stated that it is in the process of applying for a comprehensive registration as a virtual asset service provider with the regulator.
"While Binance has explored many alternative ways to serve Dutch residents in accordance with Dutch regulations, unfortunately this has not resulted in a VASP registration in the Netherlands at this time."
The exchange said it will continue to communicate with Dutch regulators.
*Not investment advice.