The Dutch Central Bank (DNB) has imposed a substantial penalty on Crypto.com, a prominent cryptocurrency exchange, totaling 2.85 million euros ($3 million). This penalty, levied in October of the previous year, was officially disclosed on March 13. The fine was imposed on Foris DAX MT, trading as Crypto.com, for providing crypto exchange services without proper registration, which occurred over a span of more than two years, starting from May 21, 2020, until at least November 8, 2022. The DNB implemented registration requirements on May 21, 2020, under Dutch laws, obligating crypto service providers to register. Despite objections from Crypto.com, the fine was maintained. However, the exchange has since acquired registration in the Netherlands in July 2023. This incident aligns with the DNB’s enforcement of registration requirements for crypto service providers since April 2022. Similar fines were imposed on other exchanges like Binance and Coinbase for operating without registration. Currently, there are 41 registered crypto service providers in the Netherlands, all complying with DNB regulations. Despite regulatory challenges, Crypto.com has seen a significant increase in spot trading volume, outperforming competitors like Kraken and KuCoin, partly attributed to its extensive marketing efforts, celebrity endorsements, and strategic sponsorships, including naming rights to prominent sports venues.
Share Title: Dutch Central Bank Fines Crypto.com for Operating Without Registration
Share Description: The Dutch Central Bank has fined Crypto.com €2.85 million for providing crypto exchange services without proper registration, spanning over two years. Despite objections, the exchange has since acquired registration.
Share Tags: Dutch Central Bank, Crypto.com, cryptocurrency exchange, fine, registration, regulatory compliance