Netherlands: Cryptocurrency Regulations as Early as in 2020

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Netherlands: Cryptocurrency Regulations as Early as in 2020

The Dutch central bank has announced that institutions that provide any cryptocurrency services must prepare for new legal regulations from January 2020.

Date of changes

January 10, 2020 - it is then that the new regulations prepared by De Nederlandsche Bank are to go into effect. Institutions conducting operations related to cryptocurrencies will have to register relevant documents in the bank in order to continue operating them.

In the official statement of the central bank we can read:

“In concrete terms, firms offering services for the exchange between cryptos and regular money, and crypto wallet providers, must register with De Nederlandsche Bank.”

In July ministers of the Netherlands have attached a condition that cryptocurrencies have to be regulated; the reason is that not so long ago people have been concerned about increasing threat of money laundering, as cryptocurrencies are used for scams pretty frequently.

Finance Minister Wopke Hoekstra received a note in January from the Dutch tax office and the central bank. It suggested the implementation of appropriate licenses that should be required from companies providing cryptocurrency services. The Netherlands is a country that does not officially recognize cryptocurrencies as a means of payment, but in 2018 one court ruled that Bitcoin is a "transferable value".  

In 2018, a survey was conducted on the most popular cryptocurrency exchanges used by the Dutch. Coinbase is the leader here, indicated by 23% of respondents. 12% of respondents said that they do not use any exchanges.

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