Netherlands Could Block Foreign Crypto Firms Under New Laws

The European country of Netherlands could block cryptocurrency entities which are based outside of the country. These businesses may get the boot under the new crypto regulations, the latest cryptocurrency news show.

In fact, a report by CoinDesk on the DNB recent registry mandate for crypto companies brought a DNB spokesperson named Tobias Oudejans in the focus. Oudejans said that the current legislation before the Dutch House of Representatives will not only force domestic companies to register with the central bunk – but also that foreign entities will not be allowed to conduct services within the country. This shows that Netherlands could block the foreign crypto firms in total.

In fact, foreign entities here include all firms registered outside of the European Economic Zone, a block which constitutes most of the European countries. When asked if the foreign crypto companies will have to create offices within the Netherlands or Europe in order to gain access to the market, Oudejans gave no specific comment.

The legislation, according to Oudejans, is still under consideration. According to him, the central bank has already asked all Dutch crypto companies to register before the January 10 cut off date mandated by the AMLD 5. For those of you who don’t know, the legislation and central bank registration is based on anti-money laundering concerns. Just like all financial firms, Oudejans noted that crypto firms in the country must register with the Dutch government.

It is true that Netherlands could block the foreign crypto firms – but it is also true that a lack of clear regulation in the country is an issue which many Dutch crypto service providers face, according to one local crypto firm. We are talking about Crypto2Cash and its founder PJ Datema. As he told many best cryptocurrency news sites, the latest DNB standards will help mature the market.

“It’s a really nice step. I’m not saying they are embracing crypto. [But] we are finally moving forward after a long period of silence,” Datema said. “It’s good they are taking action. If we want the market to mature and the participants to evolve… you want anti-money laundering (AML) and proper know your customer (KYC),” he summed up.