As a result of comprehensive new EU directives, to which the Netherlands also strictly adhere, most Dutch crypto-companies have been forced to either emigrate or cease their operations.
The crypto-exchange AMDAX is the first company to be admitted under the new rules.
Director Cremona sees the registration as a sign that cryptocurrencies are becoming a „mature asset class“ for investors, rather than a possibility of implementing criminal activity.
Since the introduction of new EU legislation to prevent money laundering, several crypto-companies in the Netherlands have been forced to relocate or cease operations. For the first time since the implementation of the new Directives, a crypto-company has now registered with the Dutch Central Bank (De Nederlandsche Bank). This is AMDAX B.V., which is now legally allowed to offer crypto-services in the Netherlands.
Strict rules lead to the end of many crypto-companies
DNB already adapted last year as a result of the stricter EU guidelines. As a result, it was decided that all Dutch crypto-companies must register with DNB. The new anti-money laundering law AML5 adopted by the parliaments finally put an end to almost all companies.
For example, the crypto-trading-platform Deribit was forced to move off the country. And the crypto exchange BitKassa even had to announce the closure of its services in May due to the demands. The measures were judged by the representative of the exchange to be completely excessive. The Dutch Ministry of Finance would do
„a great job serving the Dutch Central Bank in enforcing unreasonable regulation upon Dutch bitcoin companies.“
Dutch regulations are usually very strict and include more criteria than usual. These include the rules on customer evaluation and tracing the origin of funds. However, regulation seems to be getting stricter in other countries as well. This could be seen, for example, in the recent charges brought against the BitMEX trading-platform by the American regulatory authorities.
Cryptocurrencies as a „mature form of investment“
The Amsterdam Digital Asset Exchange (AMDAX) has recently registered with DNB as the first such institution. This is the first time, that the Central Bank has granted approval to a crypto-company under the new EU directives.
On the basis of the approval, AMDAX is officially allowed to process crypto-transactions and store digital assets. The AML5 laws will be taken into account. Valentino Cremona, co-founder and director at AMDAX, supports the high standards of the authorities for registration:
„Bitcoin and other cryptocurrencies are often associated with crime, whereas bitcoin is very transparent. The market needs clear legal frameworks, such as the set of requirements of DNB.“
He sees the registration as a sign that cryptocurrencies are a „mature asset class“, that would be used by smart investors, rather than an opportunity for criminal activity.
AMDAX is aimed at both companies and private investors. The company had started to apply for approval in May. Other Dutch crypto-companies would still have time until November the 21st to obtain a licence. Otherwise they would not be allowed to operate in the Netherlands.