Coinbase Also Received A Fine From The Netherlands
Coinbase Also Received A Fine From The Netherlands. Cryptocurrency exchanges in Europe and America are under strict scrutiny. Especially after the announcement of FTX’s bankruptcy, almost all member states and central banks of the European Union have started to scrutinize existing cryptocurrency exchanges. The latest news in this direction came from the Netherlands.
Under The Supervision Of The Central Bank
According to the information, the Dutch central bank will closely monitor four cryptocurrency exchanges, including Coinbase, between 2020 and 2023. We can summarize the course of events as follows:
The Dutch Central Bank (DNB) granted a license to the cryptocurrency exchange Coinbase in September last year. Thanks to this license, the exchange got the right to legally offer its services in the country. However, DNB fined the exchange for offering services that were not registered for testing before September. DNB fined Coinbase €3.3 million.
Coinbase Did Not Pay The Fee
According to the central bank, Coinbase also had a competitive advantage because it did not pay any fees to DNB and did not incur any other costs related to the ongoing testing. Cryptocurrency exchange Coinbase has a few weeks to appeal the fine.
The violations cited by DNB continued for a long time. Coinbase received a regulatory license in September last year. After that, the exchange was fined for pre-licensing processes.
Of course, this situation will have a domino effect in all European Union countries, especially in the Netherlands. Currently, there are news from France and Ireland that similar investigations are intensifying.