Netherlands Might Block Entry to Foreign Crypto Firms Owing to Its Anti-Money Laundering Laws
Crypto companies based out of Netherlands have to be consider moving their operations outside the country under new regulatory laws. Citing the anti-money laundering (AML) laws introduced by the European union for the crypto industry, companies will have to self-register with Netherlands central bank - De Nederlandse Bank (DNB).
This rule will be applicable to not only local companies in Netherlands but also overseas firms operating in Netherlands. The central bank also warned that EU AML laws will go into effect from January 10,2020. After that, DNB will give companies six more month to complete their registration process. Failing to do it by the deadline, the companies could be forced to shut down.
In the official notice, the bank https://www.toezicht.dnb.nl/en/2/50-237833.jsp: “During these six months you must therefore already comply with the requirements of the law. If, at the time the law comes into force, you have not submitted a request for registration, you must stop your service.”
Moreover, the bank has said that major stakeholders and directors of the company should prove their ability to abide to the AML laws.
Regulators from across the globe have been cracking down on the crypto industry over the last year with increasing cases of money laundering and other illicit activities. some analysts say that regulations are good for the crypto industry in the long term as they will help to weed-out bad actors and create a conducive environment for investors.