In a new blog post published on Thursday, Coinbase says that starting June 27, all of its customers in the Netherlands will need to meet new customer know-how, or KYC, requirements when transferring digital assets to wallet addresses that are are not based. Exchange. This includes providing the recipient’s full name, purpose of transfer, and the recipient’s full residential address. Transfers between Coinbase accounts are not affected by the new rule.
The exchange noted that the change will only affect Coinbase users in the Netherlands, and is being implemented to comply with the country’s digital asset regulations. Non-custodial wallets are subject to the country’s 1977 Sanctions Act, which mandates that financial service providers, such as crypto exchanges, must check the identities of individuals or legal entities with whom they have a business relationship. The law came into force to prevent the transfer of financial assets for purposes such as money laundering or terrorism financing.
Earlier this month, Peter Hasekamp, director of the Dutch Bureau for Economic Analysis, called for the Netherlands to ban bitcoin and that the country was lagging behind in trying to curb its crypto propaganda. Meanwhile, the country’s regulators have warned that digital assets are neither suitable as a means of payment nor as a means of investment.
In March, Coinbase announced that it would track off-platform transactions in Canada, Singapore and Japan, citing regulatory compliance with local jurisdictions. Canadian users will also be required to provide recipients information when transferring funds between their own crypto wallets, however, all such KYC requirements are waived for transactions of less than $801. Meanwhile, Japanese and Singaporean users are required to provide transaction details for every single off-platform transaction without any minimum limits.