Coinbase Fined $3.6 Million for Failing to Register Crypto Services in Netherlands

Coinbase was fined $3.6 million by the Dutch Central Bank (DNB) for failing to register its crypto services to customers in the Netherlands. According to DNB, Coinbase should have obtained the correct registration under the Dutch Anti-Money Laundering and Anti-Terrorist Financing Act before operating in the country. The price of the fine was higher than usual due to the severity and degree of culpability of the non-compliance and the fact that Coinbase is one of the largest crypto service providers and has a significant number of customers in the Netherlands. DNB also took into account that Coinbase has not paid any supervisory fees to DNB or incurred other costs in connection with DNB’s regular supervision activities.

Coinbase has until March 2 to appeal the fine. The company refutes the bank’s claims, stating that they disagree with DNB’s enforcement order and that they should not be penalized for playing by the rules and engaging in the registration process.

Coinbase is one of the world’s largest cryptocurrency exchanges, based in San Francisco, California. The company was founded in 2012 by Brian Armstrong and Fred Ehrsam and has since grown to become a major player in the crypto industry. Coinbase offers a platform for individuals and institutions to buy, sell, and store digital assets such as Bitcoin, Ethereum, Litecoin, and others. The platform is available in over 100 countries and serves over 35 million customers. In addition to its exchange services, Coinbase also offers a range of other products and services, including its own cryptocurrency wallet, a trading platform for institutional investors, and education resources for beginners.