Netherlands central bank warns Binance of illegal activity
De Nederlandsche Bank has become the next European central bank, which issued a warning to Binance and all of its subsidiaries because the exchange's activities in the country are illegal.
DNB officials said that by operating without a proper license and offering their financial services and wallets to the citizens of the country to store a new asset class, the largest cryptocurrency exchange is violating the local Anti-Money Laundering and Terrorist Financing Act. According to the Central Bank of the Netherlands, this increases the risk that clients will be involved in the process of money laundering, terrorist financing, or some other illegal financial fraud punishable by law.
Earlier, due to the lack of a license and illegal operation, Binance received warnings from many financial regulators around the world, including Japan, Thailand, Singapore, Canada, Malaysia, Poland, Italy, Germany, Great Britain, and the Cayman Islands.
In a recent interview with Bloomberg, the head of Binance said that today almost all the attention of the management of the marketplace is focused on the regulatory aspect and compliance with the laws of all countries in which the exchange does business.
According to Changpeng Zhao, Binance is undergoing a transformation from a technology innovator to a financial services company, because it is logical that it is required to fully comply with various laws in order not to conflict with global departments. He also stressed that the cryptocurrency exchange intends to obtain licenses in all disputed jurisdictions and actively informs governments about the actions it is taking to change the current situation, and also conducts regular negotiations with government officials.
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