Crypto.com secures Virtual Asset Service Provider (VASP) license in Spain, allowing them to offer their products and services to Spanish digital asset users. Meanwhile, Binance encounters registration complications and legal troubles in Europe, leading to concerns in the crypto industry.
Major cryptocurrency exchange Crypto.com has announced that it has obtained regulatory clarity in Spain, with the Bank of Spain granting the exchange a Virtual Asset Service Provider (VASP) license. This development comes when Binance, the largest crypto exchange by trading volume, faces compliance hurdles in Europe.
To obtain the VASP license, Crypto.com underwent a thorough review to ensure compliance with Anti-Money Laundering rules (AMLD) and other finance-related directives. With the license, Crypto.com can now offer its products and services to digital asset users in Spain.
Kris Marszalek, CEO of Crypto.com, highlighted that obtaining the VASP license demonstrates their commitment to compliance and collaboration with global regulators.
Crypto.com Compliance Commitment in Spain Contrasts Binance’s European Registration Challenges
However, Crypto.com has faced backlash over allegations of deploying internal teams to trade tokens for profit. Reports suggest that executives instructed team members to deny the existence of such internal market operations.
Binance is facing registration complications in Europe. The exchange recently withdrew from the Netherlands due to its inability to obtain a VASP license from the Dutch regulator. Additionally, Binance has decided to deregister as a crypto asset service provider in Cyprus.
While Binance has achieved anti-money laundering compliance in several countries, it faces legal challenges from the Securities and Exchange Commission (SEC) in the United States regarding its operations. Furthermore, there are reports of internal concerns as key executives allegedly depart from their European operations amid expansion plans.
With its regulatory position secured in Spain, Crypto.com aims to capitalize on the country’s growing demand for cryptocurrency services. Meanwhile, Binance’s compliance challenges and legal troubles have raised doubts about adherence to regulatory frameworks for sustainable growth and trust within the crypto industry.