Gemini, the New York-based cryptocurrency exchange, has announced its departure from the Dutch market, following the footsteps of crypto behemoth Binance.
The move is attributed to Gemini’s inability to meet the regulatory requirements imposed by the De Nederlandsche Bank (DNB).
However, the company has assured its Dutch users of its intention to re-enter the market once it achieves full compliance with the new regulations.
In a letter addressed to its Dutch clientele on September 26, Gemini urged users to take action before November 17, 2023, when the platform will suspend its operations in the Netherlands due to the stringent DNB requirements.
The letter emphasized the need to empty Gemini accounts completely by that date.
The company’s decision underscores the evolving regulatory landscape within the cryptocurrency space, with authorities worldwide increasing their scrutiny of exchanges and digital assets.
Gemini has recommended that its users transfer their cryptocurrency holdings to Bitvavo, a local cryptocurrency exchange fully registered with the DNB.
Bitvavo, founded in 2018 and headquartered in Amsterdam, is a member of the Dutch Association of Bitcoin Companies.
This recommendation aims to facilitate a seamless transition for Gemini’s Dutch user base and ensure continued access to cryptocurrency services.
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The cryptocurrency exchange has expressed its commitment to re-entering the Dutch market as soon as it achieves full compliance with the Markets in Crypto-Assets regulations (MiCA).
These regulations, set to unify crypto-related requirements across the European Union, will play a pivotal role in determining the re-entry of crypto exchanges into the Dutch market.
Gemini’s decision aligns with its dedication to operating within a framework that ensures both user protection and regulatory adherence.
Gemini’s move mirrors a similar decision made by Binance during the summer of 2023 when it ceased operations in the Netherlands due to its failure to obtain approval from the DNB.
The DNB’s press officer, Tobias Oudejans, suggested that compliance with MiCA could pave the way for Binance’s return, emphasizing the potential for a different legal landscape for cryptocurrency companies in the Netherlands.
Presently, the DNB has registered 37 virtual asset providers, including well-known platforms like eToro, Coinbase, Crypto.com, and BitPay.
These providers operate within the evolving regulatory framework, adapting to the changing landscape of cryptocurrency regulation in the Netherlands and the broader European Union.
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