The Dutch central bank imposes a fine against Binance in the course of the European push of the stock exchange

The Dutch central bank has Binance with a fine of more than 3 million

The central bank said on Monday that the world's largest crypto trading platform had violated its rules that require companies to register for digital assets to offer services in the Netherlands.

The administrative penalty against Binance was increased because of the severity of the violation of Dutch standards, said the bank. The stock exchange benefited from a "competitive advantage" by not paying taxes to the bank and waiving compliance costs, and had violated the rules over a long period of time since May 2020.

The central bank, however, said that the fact that Binance had now applied for regulation was reduced in its favor and the overall sentence.

The complaints from the Dutch supervisory authority underlines the increasing division of the European financial regulators in relation to their attitude towards the stock exchange. Binance was indicated by dozens of supervisory authorities around the world for concerns about his guidelines to prevent money laundering and to protect consumers as well as for operating without permission.

In the United Kingdom, the Financial Conduct Authority opened the risks that emerge from the extensive crypto exchange and published a consumer warning before Binance in June 2021. The FCA also said that she did not think Binance is able to be effectively supervised, as it warned its "complex and risky financial products" was "a significant risk for consumers".

In contrast, France, Spain and Italy have opened their doors to the stock exchange in the past few months. The nod of the French authorité of the Marché Financier was criticized by the French MP Aurore Lalucq, who described the decision as "incomprehensible".

LALUCQ added that the decision was "surprising and even worrying". . . Especially since many other supervisory authorities, and not the most insignificant, have already refused to issue any form of registration or approval ”.

Binance described the regulatory complaint in the Netherlands as a "long-awaited linchpin in our ongoing cooperation with the Dutch central bank".

"Although we do not share the same view in every aspect of the decision, we deeply respect the authority and professionalism of the Dutch regulatory authorities to enforce regulations at their own discretion," said the stock exchange and added that they now "strive for a more traditional company in the Netherlands."

The Dutch central bank previously expressed concerns about the stock exchange and publicly warned of Binance in August last year. "In the Netherlands, Binance offers crypto services without the necessary statutory registration," said the bank at the time and said that the lack of proper registration of the stock exchange increases the risk that customers will be "involved in money laundering or terrorist financing".

Binance has undertaken to set up a formal headquarters and regulate its corporate structure after it has operated as a "decentralized" organization for several years. The promise of reform represents a concession to the regulatory authorities, which were stopped by the irregular structure of the company.

The group has also explained that it quickly strengthened the setting of compliance employees and the enforcement efforts to strengthen its regulatory references.