THE BANK OF SPAIN HAS OFFICIALLY REGISTERED BINANCE AS A VIRTUAL CURRENCY PLATFORM!
The largest cryptocurrency exchange in the world, Binance, has been registered by the Bank of Spain as a virtual currency platform with policies in place to prevent money laundering and terrorism financing.
The bank stated that registered providers must abide by money laundering and terrorism financing laws. But added that it does not monitor the platforms’ operational and financial risks. However, being listed in the registry does not imply that the central bank has approved its operations.
With around 120 million users globally, Binance tweeted on Friday that its registry in Spain will enable them to provide custody and exchange services for crypto assets in that nation. While adhering to regulations laid forth by the central bank.
As the European Union develops new regulations on the industry, the registration shows that Binance is gaining pace in Europe after it was recently added to national registries in France and Italy.
According to new laws adopted by the EU to control a volatile market, crypto companies will need a license and client safeguards to produce and sell digital tokens.
Since new regulations are expected later in 2023, there is now no cross-border approval of crypto services throughout the EU. However, this will change.
Globally, there is no regulation of crypto assets; in the European Union, national operators are simply needed to demonstrate safeguards to prevent money laundering.
Invoking a recent Reuters report on money laundering on the platform, a French member of the European Parliament urged France’s market regulator to revisit its decision to register Binance. The Reuters report found that Binance served as a conduit for laundering at least $2.35 billion in illicit funds.