Dutch financial authorities looking to end anonymous crypto purchases

19 Jan, 2019 | Updated: 19 Jan, 2019
by Richard Allen
Dutch financial authorities looking to end anonymous crypto purchases

According to prominent Dutch publication NOS, the Netherlands is looking to implement new legislation that will remove the anonymity from buying and selling cryptocurrencies.

The Netherlands Authority for the Financial Markets (AFM) and De Nederlandsche Bank (DNB) have advised Finance Minister Wopke Hoekstra that the government should implement a licensing system. “The minister immediately announced that he would take over the advice,” the publication reports.

In December, Hoekstra called for a permit system to be implemented for trading platforms and wallet providers.

The Finance Minister asked for the advice early last year, during a time when cryptocurrencies were soaring in popularity. However, with the arrival of the bear market, “interest among consumers has declined somewhat.” As a result, the AFM and DNB have stated that the danger of risky speculation and fraud is less urgent and emphasize the prevention of money laundering and terrorist financing.

The Financial Intelligence Unit, an independent investigation unit of the police, have reported an increase in the number of unusual crypto transactions, going from 300 to nearly 5,000 a year. As such, a new European directive is set to tackle this issue. Crypto exchanges that provide fiat-to-crypto services must comply with the same laws as traditional financial institutions.

“This means that these parties must keep an eye on all transactions of their customers, and report suspicious transactions (just like banks already) to the authorities.”

Read more: Dutch regulator to issue licenses for cryptocurrency providers, Dutch Central Bank regulates crypto companies to cut down on money laundering

Follow Chepicap now on Twitter, YouTubeTelegram and Facebook!


Do you welcome regulation to combat cryptocrime?

(5 votes)

Add a comment

Check out the latest news

You will be logged out and redirected to the homepage