October 1, 2022

European cryptocurrency companies close due to future tightening of regulatory rules

European cryptocurrency companies close due to future tightening of regulatory rules

Simplecoin mining pool and Chopcoin cryptocurrency gaming platform are closed due to the decree of the European AMLD5 Union, effective January 10, 2020.

According to the notice posted on the siteSimplecoin, the company stops working on January 1. The decision is due to the fact that the new rules will require compliance with the requirements of AML and KYC, and this contradicts the nature of cryptocurrencies.

When the new rules come into force, we willforced to demand from you, users, to pass an identity in order to combat money laundering. Mining should be accessible to everyone, in this regard, we refuse to compromise the privacy of our users, said Simplecoin.

Christian Griger, co-founder of Simplecoin, saidThe Block publication that the company employs 42,000 users and two employees. Griger co-founded Simplecoin with Marvin Janssen in August 2018.

Simplecoin users must withdraw their funds by December 20 and delete accounts by December 31, because after this date the platform will be unavailable.

Another company, the Chopcoin gaming platform,which Griger is also a co-founder, closes for the same reason. Griger told The Block that he co-founded Chopcoin with Joshua Stoffels in September 2015. Currently, the platform has about 305,000 users and two employees.

Simplecoin and Chopcoin are not the only companies subject to the new rules. Just last week, Bottle Pay cryptocurrency startup announced it closed on December 31.

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