The Dutch central bank fines US crypto exchange Coinbase 3.3 million euros ($3.6 million) for not being registered.
According to a Reuters report on January 26, the Dutch central bank, De Nederlandsche Bank (DNB), fined crypto exchange Coinbase 3.3 million euros ($3.6 million) for failing to comply with local regulations for financial service providers.
De nederlandsche bank stated that it considered Coinbase’s size as a company as well as the fact that it has a “significant number of customers in the Netherlands.”
The authorities claimed Coinbase was not in compliance between November 2020 and August 2022. The DNB targeted the cryptocurrency exchange KuCoin in December 2022, saying that it was also offering services illegally without a license.
It targeted Binance Holdings Limited in 2021 with similar allegations, and the exchange paid more than 3 million euros in fines as a result of the violations. Since the beginning of the year, Coinbase has been in the news for a variety of reasons related to its business operations.
It announced on January 10 that it will be laying off 20% of its workforce due to operational restructuring. On the same day, the brother of the crypto exchange’s ex-manager was sentenced to 10 months in prison for insider trading, the first known case of its kind in the crypto industry.
Coinbase announced a week later, on Jan. 18, that it will cease operations in Japan due to the ongoing effects of the bear market trading slump. Despite the exchange’s less-than-desirable developments, it was reported that Coinbase stock had risen 69% from its all-time low around the same time it closed up shop in Japan.