- Coinbase will collect information for off-the platform transfers from citizens in the Netherlands.
- The change has been introduced to comply with local regulations.
The volatility of the crypto market is rising, and therefore, regulators are keeping a strict eye on the crypto exchanges to protect users from potential risks. Recently, Uphold withdrew its operations in Venezuela due to complexities arising from complying with US sanctions. Similarly, the Korean authorities are still investigating the suspicious fall of Terra while monitoring the digital assets market.
Amidst all this, another leading American cryptocurrency exchange, Coinbase announced that it is introducing a few changes in the process of transactions for its customers in the Netherlands. The information was shared on a blog published on June 23 on the company’s official website.
Coinbase will now require information about the transaction and recipient from customers transferring digital assets from their Coinbase exchange account to a wallet that is not native to the platform. The reason cited for bringing this change is that the company is attempting to comply with local regulations.
In addition, customers from the Netherlands will have to share additional information like the recipient’s full name, the purpose of transfer, and the recipient’s residential address for all their transactions. However, Coinbase has assured that the change will not affect the user’s experience of buying, selling, and exchanging digital assets using Coinbase.