07-19-2022 icon

Netherlands Govt. slams Binance with  $3.3M sanction 

By Lucy Adegbe
Binance debit card

………..The exchange was issued a sanction due to its continuous service operation in the Netherlands regardless of the absence of legal authorization. 

According to an early Monday official statement, the Dutch National Financial Authority has issued a monetary sanction of exactly 3.325M euros ($3.37 million) against cryptocurrency trading protocol Binance. 

This penalty is a result of the platform’s continued unauthorized operation in the Netherlands region.

Dutch Central Bank, officially recognized as the De Nederlandsche Bank instructs that all digital property companies must be duly authorized by the Money Laundering and Terrorist Financing Prevention Act before the commencement of operation. 

However, the dominating platform happened to have volatile this policy, hence receiving a monetary fine of 2 million euros which was later increased to 3.325 million euros in correlation with its “large number” of clients in the Netherlands territory. 

Binance made moves to oppose the sanction which was issued on the 25th of April and also filed for an authorization which is still under review by the nation’s reserve bank. 

A May 4th report by the Autorite Des Marches Financiers revealed that the exchange is legally authorized for all digital assets operations in France. It is the platform’s first legal authorization in the European region. 

While the trading protocol seeks to spread its operations across borders, it was also reported to have been granted a pro tem access of operation as a virtual asset broker-dealer in the capital city of the United Arab Emirates.