Dutch central bank says KuCoin is not licensed and 'illegally offering services'

The cardinal slope of the Netherlands, De Nederlandsche Bank, has issued a informing to investors successful KuCoin, saying the speech was operating without ineligible registration.

In a Dec. 15 announcement, the cardinal slope said MEK Global Limited, oregon MGL, which does concern successful the Netherlands arsenic KuCoin, was not successful compliance with the country’s anti-money laundering, oregon AML, and the equivalent of combatting the financing of terrorism, oregon CFT, regulations. De Nederlandsche Bank added the crypto steadfast was “illegally offering services” arsenic good arsenic “illegally offering custodian wallets” for users.

“Customers of MGL are not successful violation,” said the bank. “However, this whitethorn summation the hazard of customers becoming progressive successful wealth laundering oregon violent financing.”

DNB warns against MEK Global Limited, doing concern arsenic KuCoinhttps://t.co/kgh6XVkYbI

— De Nederlandsche Bank (@DNB_NL) December 15, 2022

First launched successful 2017, KuCoin is headquartered successful Seychelles and operates successful astir countries astir the world. As a large crypto exchange, KuCoin has been the taxable of scrutiny by regulators and lawmakers amid the crypto marketplace downturn and the illness of FTX. CEO Johnny Lyu dismissed rumors of insolvency astatine the speech successful July, and the steadfast provides impervious of reserves data for users.

Related: Coinbase enters the Netherlands with cardinal slope approval

In 2021, De Nederlandsche Bank made akin allegations of amerciable operations for Binance Holdings Limited and the hazard of violating AML and CFT regulations. The Binance institution aboriginal paid an “administrative fine” of much than 3 cardinal euros owed to the violations.

Cointelegraph reached retired to KuCoin for comment, but did not person a effect astatine the clip of publication.