Binance, the leading global cryptocurrency exchange, has been actively expanding its services worldwide. However, due to increasingly stringent regulatory oversight in the cryptocurrency industry, obtaining licenses has become more difficult. Consequently, Binance has decided to withdraw its operations from various regions, including the Netherlands.
Recently, Binance reached out to its users in the Netherlands, urging them to withdraw their cryptocurrency assets from the platform. According to a recent report, these users have been given until August 17, 2023, to complete the process of emptying their holdings. The exchange emphasized that if users fail to withdraw their digital assets by the specified deadline, Binance retains the right to take necessary actions to exit the Netherlands. This includes closing individual wallets on the exchange and deeming the exchange accounts as dormant.
Furthermore, even if users miss the withdrawal deadline, they will still maintain a contractual claim to the specific number and type of digital assets held in their individual accounts.
Binance’s Dutch Departure
In June, Binance officially announced its decision to exit the Dutch market. The primary reason behind this choice was the exchange’s inability to obtain a virtual asset service provider (VASP) license, a crucial requirement for complying with anti-money laundering regulations in the region. Consequently, the exchange immediately ceased accepting new users from the Netherlands. Additionally, earlier this week, the exchange blocked crypto deposits from all users residing in the Netherlands.
Moreover, in 2022, the Dutch central bank imposed a fine of 3.3 million euros or $3.6 million on the exchange for providing services to clients in the Netherlands without the necessary authorization.
At the beginning of this month, Binance directed its Dutch customers to consider utilizing Coinmerce, a competing cryptocurrency exchange. Coinmerce issued a statement clarifying that users have the option to transfer their digital assets free of charge. The primary objective of this arrangement is to ensure a smooth and well-organized transition for the affected users.