The Dutch Central Bank has fined Coinbase for operating without a complete registration.
Reuters reports that Coinbase, a leading cryptocurrency exchange has been sanctioned in the Netherlands by the Dutch Central Bank (DNB). Coinbase broke regulatory protocols by failing to complete the required registration status before offering services in the country.
The penalty comes with a $3.6 million fine, similar retribution was given to Binance, the world’s top cryptocurrency exchange in July 2021.
Coinbase plans to appeal against the fine, disagreeing with the apex bank and insisting that none of its services were against the country’s regulations.
DNB’s penalty on Coinbase covers the period between November 2020 and August 2022. According to the regulator, Coinbase did not fulfill the compliance requirements until September 2022, when it completed its registration.
The bank also noted that during the said period, “a large number of unusual transactions may have gone unnoticed by the investigative authorities.”
Operating in the Netherlands requires cryptocurrency companies to register as money transmitters under the anti-money laundering rules initiated in May 2020.