Coinbase has been fined for not following Dutch financial regulations.
The crypto exchange failed to comply with regulations in the Netherlands and will have to pay a $3.6 million (€3.3 million) fine.
Recently, Coinbase experienced a wave of layoffs and was forced to withdraw its exchange from the Japanese cryptocurrency market.
Coinbase fined by Dutch government for failing to comply with financial regulations
Leading crypto exchange Coinbase must pay $3.6 million (€3.3 million) to the Dutch government for failing to comply with financial regulations in the Netherlands.
De Nederlandsche Bank, issued the charge to Coinbase for failing to register their services between November 2020 – August 2022.
In 2022, Binance was also fined for offering exchange services in the Netherlands without being registered. The warning against Binance was sent in August 2021.
Due to deteriorating market conditions, 18% of Coinbase's staff have been laid off since the beginning of the bear market.
On January 10, 2023, Coinbase CEO Brian Armstrong issued a statement about the impending layoffs and difficulties at Coinbase.
I've made the difficult decision to reduce our operating expense(1) by about 25% Q/Q, which includes letting go of about 950 people(2). All impacted team members will be informed by today.
Aside from fines and layoffs, Coinbase has also withdrawn itself from the Japanese cryptocurrency market due to poor industry performance in the region. Coinbase’s Japan-based clients have till February to withdraw their funds before the exchange fully exits.
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