The Dutch central bank De Nederlandsche Bank (DNB) has slapped Binance with a $3.35 million fine for offering services in the Netherlands with the appropriate license. The regulator highlighted in an official statement that violations committed by Binance are punishable by a third-category fine.
The DNB fined the crypto exchange $3.35 million because it has a very large number of customers in the country. Moreover, Binance enjoys a competitive advantage as it did not pay any levies to DNB and did not incur any other costs related to the ongoing supervision by the regulator. Since May 2020, the DNB has required virtual asset service providers to be registered under the Anti-Money Laundering and Anti-Terrorist Financing Act.
The regulator said Binance had been in violation of the regulation rules from May 21, 2020 – December 1, 2021 – when DNB concluded its investigation into the matter. The Dutch central bank sees this as an important reason to increase the fine. It considers the violations very serious. As such, the fine came in at the upper limit of the $2 million to $4 million maximum, the DNB can impose – owing to the gravity and degree of culpability of the non-compliance.
A spokesperson for Binance said the crypto exchange is hoping to put the squabble behind it as it pursues the Dutch license. The company said the Dutch central bank’s decision marks a long-awaited pivot it their ongoing collaboration with the regulator. The spokesperson said Binance deeply respects the authority and professionalism of Dutch regulators to enforce regulations as they see fit.