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Flow Traders Registers Crypto Outfit with Dutch Central Bank


www.financemagnates.com 30 March 2021 08:52, UTC
Reading time: ~2 m

Euronext-listed liquidity provider, Flow Traders today said its cryptocurrency outfit has been registered by De Nederlandsche Bank (DNB) as a provider of crypto services in the Netherlands.

This enables Flow Traders to process crypto transactions, and offers liquidity to exchange cryptocurrencies for fiat currencies and vice versa.

Headquartered in Amsterdam, Flow Traders has been a principal trading firm and a major liquidity provider, specialised in Exchange Traded Products (ETPs).

The company, which also has offices in New York, Singapore, Hong Kong, Milan and Cluj, expands into the digital assets space as a diverse group of firms are now moving into cryptocurrencies.

From Goldman Sachs to Tesla, a rising number of mainstream firms are testing the crypto-waters with institutional interest is driving prices higher and adding legitimacy to virtual assets. As such, Flow Traders plans to secure it slice through operating as a provider of spot OTC cryptocurrency liquidity. It also plans to make markets in cryptocurrency ETPs and offers 24/7 liquidity on crypto exchanges.

Commenting on the news, Folkert Joling, Chief Trading Officer stated: “Flow Traders is delighted to have been registered by the DNB and welcomes the new regulation in the crypto arena. This regulatory status is another positive next step as we seek to strengthen our market leading position in spot OTC crypto in Europe. Institutional counterparties can reach out to the Flow Traders Institutional Trading team in Amsterdam and London.”

Europe Brings Crypto Businesses Under AMLD5 Rules

Since May 2020, the Dutch government has applied new legislation related to crypto, based on European guideline AMLD5. The new laws force crypto exchanges, wallet providers and crypto custodial service providers operating in the Netherlands to register with a financial regulator and prove that they are meeting AML requirements if they want to continue their operations.

The AMLD5 rules, which went into effect in January 2020, is a pan-European anti-money laundering directive that requires member states to implement it into their national laws. The legislation is notable because it represented the EU’s first attempt to regulate cryptocurrency activities at EU-level expressly.

The AMLD5 also imposes registration and customer due to diligence requirements that force operators to disclose their traders’ identities and report suspicious activity.


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