Crypto Firms Serving Netherlands Must Register With Dutch Central Bank

The Dutch Central Bank is taking a tougher stance on the cryptocurrency industry, citing new European Union anti-money laundering laws.

Beginning Jan. 10, 2020, companies or persons involved in the conversion of crypto to fiat currencies or offering crypto deposit services will be required to self-register with the De Nederlandsche Bank, the DNB announced Tuesday.

The order includes firms based outside the Netherlands that are serving Dutch nationals, even via the internet.

DNB says the oversight is to meant to comply with the fifth EU Anti-Money Laundering Directive, which will also go into effect on Jan. 10, 2020.

Companies that fail to submit registration beforehand could be forced to shut down once the rules go live, the DNB said.

"During these six months you must therefore already comply with the requirements of the law," the DNB said.

Further, significant shareholders and directors must also be able to prove their AML ability to a DNB assessment.

Under AMLD 5, member states must issue crypto regulations adhering to the policy before Jan. 10.

In the Netherlands, the DNB will take into account past actions of each company in addition to the "The specific function, the nature, size, complexity and risk profile of the company, and the composition and functioning of the collective."

Earlier this spring, the Dutch Financial Criminal Investigative Service shut down coin mixer Bestmixer.io, seizing multiple servers in the Netherlands and Luxembourg.