Bitstamp, a well-known crypto exchange, has recently imposed restrictions on its Netherlands-based users. According to the reports, all the users based in the Netherlands will have to go through verification before withdrawing crypto. For every withdrawal, the users will have to provide photo ID proof that they own the recipient wallet. This is a mandatory procedure that the users will have to go through for whitelisting, whenever they withdraw crypto to an external wallet. Bitstamp Imposing Restrictions Due to Anti-Money Laundering Regulations Whitelisting is not Bitstamp’s new feature but now it has become obligatory for all Netherlands-based users. It is revealed that Bitstamp has taken this step due to the anti-money laundering regulations in the Netherlands. These regulations were drafted by the Dutch regulators in November 2019, however, it was passed into the law in November 2020. With these regulations, Dutch regulators want all the crypto exchanges to monitor all the incoming and outgoing transactions by the users. The exchange will also have to keep a check of whether their clients are on European or Dutch sanctions lists. Other Exchanges Are Also Complying With New Regulations It is not only Bitstamp as other exchanges are also complying with these new regulations. Back in November 2020, when the law was passed, Bitconic has informed its users that they will have to comply with these new regulations introduced by Dutch regulators. It has been seen that the crypto users in the Netherlands have criticized these regulations a lot. Some of the analysts have also compared these regulations to the recent policies by Steven Mnuchin, the U.S. Treasury Secretary. It is yet to be seen how the incoming U.S. President Joe Biden’s administration is going to take these regulations. There are reports that the U.S. crypto community is quite hopeful of this new administration and believes that it will prove beneficial for them.
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