Firms operating in the cryptocurrency in the crypto market space that is extrinsic to the Netherlands are set to get the boot. This is following new crypto regulations recently passed in the Netherlands that will see foreign enterprises engaged in the crypto ecosystem being blocked from conducting their businesses in the Netherlands.
Following reports on the DNB’s newly acquired mandate over cryptocurrency companies, the DNB spokesman, Tobias Oudejans has opined that “as of present the legislation is before the Dutch House of Representatives”, and will seek to not only coerce domestic companies to register with the Central Bank but also move to see that foreign enterprises in the crypto ecosystem are not allowed to engage crypto services within the Netherlands.
As per definition, foreign entities or foreign enterprises will include the entirety of firms that are registered from without the European Economic Zone, which is simply a block that is constituted of numerous European countries.
When pressed about foreign crypto companies having to establish offices within the Netherlands or Europe in order to access the ecosystem in Netherlands, the spokesman had no comment at the time Oudejans has said that the new move will seek to consolidate the fifth EU anti-money laundering directive, AMLD5, even though it is still in its consideration and deliberation stages.
The central bank has already, in the past, asked all Dutch companies operating in the cryptosystem to register themselves before or on January 10 for the AMLD5. The new regulations and the Central Bank registration is a move geared towards ensuring that anti-money-laundering is done away with. Similar to all financial firms, Oudejan opines, crypto firms and companies operating in the crypto industry must align themselves with the agenda of the Dutch government which is basically to do away with money laundering and terrorist financing.
He says that, as a new industry, the legislation surrounding the crypto markets are very critical even though at one point or the other they may seem to be retrogressive.
The news about the legislation that will see foreign companies in the crypto industry been blocked from operating within the Netherlands has been both good news and bad news. It is good news, especially for companies and citizens of the Netherlands who feel that the lack of specific legislation concerning the crypto industry has been making the market to stagnate instead of growing.
Crypto2cash is one such company that is feeling happy, with its founder PJ Datema opining that “it is a really nice move. I am not saying that they are not embracing crypto, but we are finally moving forward after a long period of Silence.”