Home CryptoNews Dutch Regulators Set Plans in Motion to Regulate the Cryptocurrency Sector by...

Dutch Regulators Set Plans in Motion to Regulate the Cryptocurrency Sector by January 10, 2020

In their bid to comply with the 5th European Union Anti-Money Laundering Directive (AMLD 5) requirements, Dutch regulators drawn from the De Nederlandsche Bank (DNB) will be responsible for firms in the crypto space. Per the official press release, the country’s watchdog has set plans in motion to have the sector under its purview by January 10, 2020.

In a nutshell, from January 10, 2020, crypto-based firms operation within Netherland’s borders, whether online, have a physical presence, or are based overseas must have a license. The De Nederlandsche Bank official statements states;

Firms providing crypto wallet services and conversion of fiat to crypto or vice versa must have a dually issued license from us.

De Nederlandsche Bank Requirements

Besides sending their license applications, players present in the crypto sector must furnish the Bank with a detailed history of their operations. Similarly, their board members, together with some significant shareholders, will have to undergo a check done by the Bank.

On the other hand, the firms as entities must convince the Bank that their money laundering and terrorism fighting mechanism are in order and efficient. Policymakers and board members must show the Bank they are competent enough to manage these processes.

De Nederlandsche Bank
De Nederlandsche Bank HQ

Although the above points to De Nederlandsche Bank cornering stakeholders by requiring them to work under the law, the bank will give them six months before it comes to conduct checks. However, before January 10, 2020, firms ought to have applied for the license. After that, De Nederlandsche Bank will come in to validate the firms after the six months. Apart from the latter, De Nederlandsche Bank will also close down firms which haven’t complied with requirements put in place.

In addition to informing stakeholders of their plans for the sector, De Nederlandsche Bank also urged all players in the industry to contact them for further discussions. Per the publication, the talks will revolve around how the Bank will regulate the industry. Similarly, firms that reach out will also be guided on how to go about when complying with the terms and conditions brought forth by regulations.

Apart from fulfilling requirements in AMLD 5, the implementation of regulations in the crypto space is coming after lawmakers urged the government to move in and regulate the sector.

Carlos Teodoro
Carlos Teodoro
Entusiasta de las criptomonedas y de todo lo que representan, Carlos es responsable de escribir artículos, crear imágenes y pertenece al equipo de Crypto Economy desde 2017. También se encarga del departamento comercial, de las redes sociales y de la revisión de las traducciones. Carlos continúa formándose cada día para convertirse en un experto de la cadena de bloques.
- Advertisment -
#NamePriceChanges 24H