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Collapsed Crypto Trader FTX Had No License In The Netherlands

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Crashed crypto exchange FTX was operating in the Dutch market without a license, central bank confirms News site Nu.nl.

FTX was one of the world’s largest digital currency trading platforms, fell apart Over the past few days, many investors who used the service have lost access to cash. The collapse of FTX has also caused a drop in cryptocurrency exchange rates and confidence in the sector around the world.

Around 2 million people in the Netherlands are said to have invested in digital currencies, many of whom may now be losing money. While most people invest small amounts, “we know some people invest large amounts,” the central bank said.

Last year, the central bank fined sector peers binance €3.3 million for illegal operations in the Netherlands. From May 2020, companies trading in cryptocurrencies will have to register under a law aimed at combating money laundering and terrorist financing.

The central bank declined to say whether it has taken action against FTX, saying it cannot comment on individual cases.

the central bank said early this month International rules are needed to regulate the use of cryptocurrencies such as Bitcoin, Ethereum and Tether, and it is “most important” to do this quickly.

Effective regulation helps ensure that the added value offered by crypto technology can be exploited while avoiding the risks associated with speculation, banks said in a presentation of a new report on policy responses to crypto assets. said in

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https://www.dutchnews.nl/news/2022/11/collapsed-crypto-trader-ftx-did-not-have-a-licence-in-the-netherlands/ Collapsed Crypto Trader FTX Had No License In The Netherlands

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