Dutch regulator fines Coinbase $3.6 million for non-compliance

Crypto exchange Coinbase has been fined 3,325,000 euros ($3.6 million) by the Dutch Central Bank for offering crypto services to customers in the Netherlands without registering under the anti-money laundering and terrorist financing norms.

The fine is due to the company’s failure to comply with the laws in the country. The Dutch Central Bank explained that the fine was increased due to the severity and degree of culpability of the non-compliance.

Additionally, the regulator took into account the scale of Coinbase’s Dutch customer base and the competitive advantage the company gained by not paying supervisory fees.

Coinbase has until March 2 to object to the administrative fine, they have stated that they disagree with the enforcement order and are “carefully considering the objections and appeals process.”

A Coinbase spokesperson said that the order was based on the time it took for Coinbase to obtain registration in the Netherlands and that it included no criticism of their actual services.

The company also stated that it is committed to compliance in all jurisdictions in which it operates and that it will continue to provide safe and trusted services to new and existing Dutch customers.

It’s worth noting that Coinbase is the largest crypto exchange in the US. and it’s the first time that it has been fined by a regulator in Europe.