‘Binance Can’t/Won’t Comply With Rules’ in Netherlands: XPRL-Based XUMM Wallet Developer

Developer of XRPL-based XUMM wallet Wietse Wind has commented on the Binance exchange’s loud announcement to withdraw from the Netherlands market after it left Cyprus earlier this week.

Wind stated that registering with regulators is the only way to offer cryptocurrency services in the Netherlands. It is perfectly possible, he stated, as even XRPL Labs that created the XUMM wallet was able to do it.

He cited the Binance blog post (and attached a screenshot to the tweet), saying that the exchange has tried to explore many alternative avenues for servicing local customers in compliance with the regulators but stated that “exploring alternative avenues” means “finding ways around playing by the rules,” in his view.

Therefore, Wind can only interpret this as Binance saying “we can’t/won’t comply with the rules.”

The only legal way to offer crypto services in NL is by registering with the regulator. Perfectly possible: others, including our own @XRPLLabs did so)

“Exploring alternative avenues” = “finding ways around playing by the rules”

I read: “we can’t/won’t comply with the rules” pic.twitter.com/ER7yBlVUxv

— WietseWind (🛠+🪝 Xumm @ XRPL Labs) (@WietseWind) June 16, 2023

Overall, according to the postscript in the next tweet in this short thread, Wind does not like to see Binance withdrawing from the Dutch market. He would prefer them to stay and play by the rules, like everyone else. He concluded that Binance refuses to pay for the regulatory and compliance costs in the Netherlands, so they would rather leave.

Binance’s response to rumors of being sued in France

Earlier today, it was reported that Binance is currently under investigation by the Paris public prosecutor’s office related to “acts of illegal exercise” and money laundering.

Chinese crypto reporter Colin Wu shared CoinDesk’s article about Binance being investigated in Paris. The official Twitter account of the exchange responded to clarify the situation. According to the post, in France, visits of regulators’ representatives are normal and are part of the compliance agreement.

According to the tweet, an onsite visit to Binance was paid for by regulators as early as last week. The tweet insists that Binance was “fully cooperative” and met its obligations accordingly.

The exchange works closely with regulators and invests a “significant amount of time and resources into cooperating with law enforcement globally.”