German Supervisory Authority Warns Coinbene Has No Proper Licensure
Main page News, Germany, Exchange, Regulations, Japan, Crypto Market, Cryptocurrency Exchanges
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May 28, 2019
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Germany's financial watchdog the Federal Financial Supervisory Authority (BaFin) has issued a statement, according to which, Japan-based cryptocurrency exchange Coinbene has no juridical right to operate within the jurisdiction filed of Germany since it hadn't obtained permission from BaFin to operate banking or financial services transactions in accordance with section 32 of the German Banking Act (KWG).

According to CoinMarketCap, at the beginning of November 2018, CoinBene was the eighth largest crypto exchange by the adjusted trading volume.

"Coinbene LTD Germany is not registered in the commercial register. The company recruits freelancers whose job it is to trade cryptocurrencies on behalf of its users in exchange for commission payments. The freelancer should provide his or her own bank account and perform trades prescribed by the company through cryptocurrency trading platforms," states BaFin's official announcement.

However, the exchange made it clear it wasn't hiring freelancers and the exchange is not planning to open an office in Germany.

Last year, the German Consumer Centers of Hesse and Saxony presented results of its research, according to which, more than a quarter of younger Germans are ready to buy cryptocurrencies.

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