Dutch Central Bank De Nederlandsche Bank (DNB) Fines Crypto Exchange bybit by 2,2 million euros ($2,4 million) for providing services to citizens of the country without the required registration from October 2, 2020 to September 15, 2023.
bybit has not registered with DNB under the Anti-Money Laundering and Terrorist Financing Act, which requires crypto service providers to “monitor and prevent illicit financial flows.”
The Dutch authorities introduced the mandatory registration requirement in May 2020. According to DNB, non-compliance by bybit not only is it illegal, but it also prevents the company from reporting suspicious transactions.
Company bybit failed to report suspicious transactions to the Dutch Financial Intelligence Unit during the period of non-compliance, De Nederlandsche Bank said in a statement.
DNB also said that the fine was determined based on the seriousness and long-term nature of the crypto exchange’s non-compliance. However, it was reduced because bybit made efforts to correct the violation. Thus, the exchange transferred its clients from the Netherlands to a local partner firm, SATOS BV, and has since been operating under its license as a virtual asset service provider.
