As Binance is exiting the Dutch market, the crypto exchange has entered into an agreement with its local rival Coinmerce to transfer its Dutch users. Binance will cease its Dutch operations on 17 July.
According to Coinmerce, Binance will refer its “hundreds of thousands [of] Dutch users” to the rival platform, making it the largest crypto exchange in the Netherlands in terms of “products, assets, and users.” Unlike Binance, Coinmerce is a registered crypto exchange and wallet service provider in the Netherlands.
“Our priority is to ensure an orderly transition,” Coinmerce CEO, Jaap de Bruijn, said. “Urgent treatment of these users is necessary. The crypto assets of the Dutch users at Binance will be transferred to Coinmerce via a controlled transition.”
Binance announced its decision to exit the Dutch market mid-last month as it failed to obtain a virtual asset service provider (VASP) from the local regulator. The exchange immediately terminated the onboarding of new Dutch residents as customers. Existing Binance customers are also only allowed to withdraw their funds until the complete operation termination on 17 July.
In the earlier official notice, the exchange urged its Dutch users to withdraw their holdings on the exchange before the deadline.
“We are very proud of this partnership with Binance,” said Nick Smits van Oyen, co-founder of Coinmerce. “We offer these users an equivalent platform that complies with all European laws and regulations. The transition will be smooth and is, in consultation with Binance, we have made the transition for users as easy as possible. The user will receive an email from Binance, and from there, the simple step-by-step process will start.”
Troubles of Binance
Meanwhile, Binance is facing serious regulatory troubles globally, as many of its business units are now under probe. The exchange was reportedly raided in France for an alleged probe into its illegal crypto services and money laundering lapses. The Dutch regulator also fined the exchange 3.3 million euros last year for operating without registration.
Binance further decided to deregister its Cypriot entity while it completed the deregistration of its UK unit, Finance Magnates reported. However, Binance clarified that…
