The China originated crypto exchange, Binance, has been the subject of several crackdowns from governmental agencies all around the world lately. The UK being imo the one that has bitten Binance's ass the worst so far. Now it's the turn of the Netherlands to do that.
According to Cointelegraph, Dutch central bank claims Binance is operating illegally. How a website could operate ilegally :D? That would have been my reply, but I'm not the CEO of Binance and crypto exchanges are still far away from being able to show the middle finger to authorities.
They rather get compliant and become financial institutions, regulated as if Mandingo was the regulator, instead of fighting for what crypto is all about, cough disruption, and set the stepping stone for that good old narrative called disruption that we're waiting for so much time...
Why is biting The Netherlands into Binance's ass?
You'll probably laugh, if haven't already read the news, but the country’s Anti-Money Laundering and Anti-Terrorist Financing Act, alleges that Binance customers are at risk of “becoming involved in money laundering or terrorist financing".
How could that happen, should CZ ask, before getting so damn compliant and willing to accept the orders so easily. If I remember correctly, crypto was about disruption, financial freedom and showing the middle finger to the current financial system. How are we going to do that when exchanges like Binance are acting like little puppies in front of authorities.
Moreover, how can a Binance user “become involved in money laundering or terrorist financing"? By force, how's that going to happen. In my case, nobody has forced me to become involved in money laundering or terrorist financing. If I want to, I can do that with cash quite easily to...
In a statement to Cointelegraph, a Binance spokesperson said the crypto exchange "is in the process of submitting an application for the required registration" and "will be working constructively" with the central bank to meet its requirements. "It is key to Binance that our users’ interests continue to be protected," said the spokesperson. "Although we are not formally registered with [De Nederlandsche Bank] yet, we have a robust compliance program that incorporates tools and procedures to combat money laundering and terrorist financing."
source
Robust compliance?! Since when was that an attribute of the crypto community. I thought we were about disrupting, circumventing, developing and creating a new financial system that should empower the individual. What are we going to empower with so much compliance and submission? I believe CZ has no answer to that, otherwise he wouldn't accept the idea of “a senior person with a strong compliance background” to eventually replace him as CEO.
"We're going through a pivot from a technology innovator into a financial services company so we need to be fully compliant. I believe right now all the regulators around the world view crypto as financial instruments."
-CZ source
Honestly, I was loving Binance more as a technology innovator than a financial instrument. I use Binance quite often and so far it's worked pretty good, not flawlessly, but if it's going to become just another financial service company, I'm going to have to find an alternative. I hate the establishment and not excited at all of being under the scopes of the establishment too often.
By the way, El Salvador will enact the law making Bitcoin legal tender as of September 7 and it's another disappointing piece of news that I stumbled upon today. Every Bitcoin transaction that will be conducted in El Salvador will still have to go through the filters of the government and...
“The electronic platform used by the digital wallet administrators must allow the Central Bank access in real time to all information related to the operations carried out, as well as information requested by clients.”
source
Here you have it, the mass adoption we weren't expecting...
Thanks for attention,
Adrian
