In compliance with the regulatory framework in the Netherlands, Gemini cryptocurrency exchange, headquartered in New York, has temporarily ceased its operations in the Dutch market. This comes as the platform found itself needing help to fulfill the requirements set by De Nederlandsche Bank (DNB). Gemini’s departure from the Netherlands mirrors a similar exit by the Binance crypto exchange in the summer of 2023. However, Gemini intends to resume operations in the country upon fully complying with the newly established regulations.
Subsequently, Dutch users received a communication from Gemini on September 26, urging them to transfer or withdraw their assets before the suspension was enacted on November 17. In the interim, Gemini has recommended Bitvavo, a local crypto exchange and a registered entity with DNB, as a suitable alternative for its users. Launched in 2018 and based in Amsterdam, Bitvavo is also a member of the Dutch Association of Bitcoin Companies.
Gemini Eyes Dutch Return with MiCA Alignment
Gemini remains resolute in its plans to re-enter the Dutch market. The company aims to revamp its business operations to align with the Markets in Crypto-Assets regulations (MiCA), ensuring integration upon its return. These regulations are critical for crypto asset companies intending to operate within the European Union, emphasizing the essence of regulatory adherence in fostering the growth and sustainability of crypto businesses in the region.
MiCA serves as a unified standard within the European Union, streamlining the operational prerequisites for crypto companies. The exact implementation of MiCA in the Netherlands remains under deliberation, yet it offers a beacon of hope for registered entities in other EU countries aspiring to access the Dutch market. It is notably distinct from the WWFT law, currently governing the operation of crypto companies in the country.
Netherland Market Hosts 37 Crypto Providers
As it stands, the Dutch market accommodates 37 registered virtual asset providers, including renowned platforms like eToro, Coinbase, Crypto.com, and BitPay, all of which operate under the regulatory guidance of the DNB.
Despite the rigorous compliance landscape, these entities have managed to carve a niche in the Dutch market. However, it’s essential to note that Coinbase encountered a regulatory snag, resulting in a $3.6 million fine in January 2023 due to non-compliance.
Also Read: Gemini Slams New York Post for Bad Reporting on Earn Program
The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.
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