Cryptocurrency exchange OKCoin has secured two new approvals to operate in Malta and the Netherlands, as well as a money transmitter license in Puerto Rico.
Okcoin said its cryptocurrency outfit has been registered with the Dutch Central Bank – De Nederlandsche Bank (DNB) – as a provider of crypto services in the Netherlands.
Since May 2020, the Dutch government has applied new legislation related to crypto, based on European guideline AMLD5. The new laws force crypto exchanges and other service providers to register with a financial regulator and prove that they are meeting AML requirements if they want to launch their operations.
Elsewhere, OKCoin has become the first U.S. headquartered exchange to receive “in principle” approval for a Class 4 VFA license from the Malta Financial Services Authority. The authorization allows the platform to operate in the ‘Blockchain Island’ under the country’s Virtual Financial Assets Act, which provides a set of rules for those conducting a cryptocurrency-related business.
“With these licenses, we will continue growing our presence aggressively in Europe and adding payment rails and banking partnerships. Europe is a big focus for our global growth plans, and we have added almost 25 team members in 2021 to better serve our customers in this region,” said Okcoin CEO Hong Fang.
Following in the footsteps of several European regulators, Malta has revamped its regulatory landscape over the last two years. License applicants must show to the Maltese financial watchdog that they possess sufficient capability, coherence, and solvency to run the business. The legal framework also features administrative penalties for failure to comply with the provisions of the VFA rules.
The Mediterranean Island has already been one of the most desirable locations to set up shop in the blockchain space. The European Union’s tiniest member has earned the name “Blockchain Island” after several top crypto exchanges have made it a central hub of their operations, including OKCoin’s associated platform. OKEx.
OKCoin was one of the three major crypto exchanges in China before the authorities’ crackdown on the virtual asset industry. Fleeing the hostile business environment, the exchange, along with its peers, has since shifted its operations overseas.
OKCoin International handled $20 million in cryptocurrency trading in the last 24 hours, according to CoinMarketCap. Its crypto-to-crypto entity, OKEx, is ranked the world’s 17th largest cryptocurrency exchange by adjusted trading volume, currently trading around $3.4 billion over a 24 hour period.
