World’s largest cryptocurrency exchange by trade volume is once again in hot waters with a central banking institution. This time the central bank of the Netherlands has issued strict warnings against Binance and said that the cryptocurrency exchange is not complying with the country’s anti-money laundering regulations.
Lashing out at Binance for offering its services to the local people, the Dutch central bank said that the cryptocurrency exchange is putting dutch customers at risk of becoming a part of the money laundering or terrorist financing activities.
It also said that the cryptocurrency exchange’s operations in the country were illegal as they are offering custodian wallets to dutch customers and that they don’t have the authority to do so.
While being warned by a banking authority is not new for Binance, it seems they are already responding to the growing regulatory restrictions by making adequate changes to their global operations. The exchange is focussing on complying with local regulations.
Earlier in the year, several regulators from countries like the UK and Malaysia issued warnings against Binance. Binance CEO, Changpeng Zhao has said that they are working towards ensuring compliance and seeking licenses to operate in certain jurisdictions.