Crypto exchange Coinbase has been fined €3.3 million by regulator De Nederlandsche Bank (DNB) for failing to register. This is required by law for crypto exchanges. It is designed to monitor money laundering and terrorist financing. A crypto exchange is seen as a higher risk place for him.
Registration is mandatory since May 2020. DNB detected the breach for a period of 22 months, up to and including August 2022. The company was registered a month later. “As a result, a large number of unusual transactions may have been hidden from the investigating authorities during this time,” DNB said.
higher fines
DNB decided to impose a higher-than-anticipated fine on the company “due to increased seriousness and guilt.” DNB points out that Coinbase is one of the largest providers and has a “significant number of customers” in the Netherlands.
Not having to register with the regulator and thus avoiding additional costs also gives the company a competitive advantage. The DNB can impose a maximum fine of 4 million euros for such offenses.
I do not agree with the decision
In a response, Coinbase said it disagreed with the good decision, which the company said revolved around the time it took to register and said it “contains no criticism of our service.” The company says it is committed to compliance in all the countries in which it operates. The company is considering taking further steps.
Last summer, another crypto exchange, Binance, was fined more than $3 million for the same violation.
Source: NOS
Jason Jack is an experienced technology journalist and author at The Nation View. With a background in computer science and engineering, he has a deep understanding of the latest technology trends and developments. He writes about a wide range of technology topics, including artificial intelligence, machine learning, software development, and cybersecurity.
