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Crypto in the Netherlands

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Mar 13, 2023
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9 min read
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This blog post will cover:

  • Unbelievable stats on crypto popularity
  • Best Dutch crypto and blockchain projects and platforms
  • Conclusion

The government of the Netherlands doesn’t accept crypto as a legal tender, but they are also not illegal.

In 2018, the government implemented rules for cryptocurrency exchanges and wallets under the Dutch Anti-Money Laundering and Counter-Terrorist Financing Act. This means that cryptocurrency exchanges and wallet providers in the Netherlands are required to comply with KYC and AML regulations.

Moreover, the Dutch government has presented guidance on how crypto should be taxed. Cryptocurrencies are treated as assets for tax purposes.

The government levies deemed interest on all asset value deducting liabilities. The flat rate on deemed interest was 31% in 2021.

The country has a relatively friendly environment for crypto and blockchain, with many startups and companies in the industry based there.

Unbelievable stats on crypto popularity

Here are some interesting statistics about crypto in the Netherlands:

  • According to Chainalysis, the Netherlands ranks as the 10th largest recipient of cryptocurrency by value worldwide, receiving over $1 billion worth of crypto in 2020.
  • The Dutch central bank was looking for the possibility of launching its own digital currency, called the Digital Euro.
  • Statista says that the amount of Bitcoin ATMs in the country increased from 5 in 2017 to 38 in 2021.
  • A survey by Statista shows that in 2020, about 13% of Dutch respondents said they have invested in crypto.
  • The Dutch government has been contributing in blockchain, with the Dutch Blockchain Coalition receiving €1 million in funding from the Ministry of Economic Affairs and Climate Policy in 2020.

Since 2020-2021 there were no significant changes in the Netherlands’ crypto regulations. In 2022, the Dutch regulator, Paul-Willem van Gerwen, said the crypto derivatives market must be restricted to wholesale trade. However, this idea wasn’t approved or implemented yet. 

Best Dutch crypto and blockchain projects and platforms

The Netherlands is home to several crypto projects, including Bitvavo, Litebit, and Bitonic. Here are some details about them.

Bitvavo

Launched in 2018, the Bitvavo platform was created with the purpose to close the gap between fiat money and digital assets. The team is based in Amsterdam and constantly working on growing and developing the Bitvavo platform.

This project embraces the future while taking lessons from history. The approach makes it possible to ensure safety and reliability and innovate at the same time.

The project is powered by values such as transparency, innovation, and accessibility. They have transparent fees and their products and services aim to be universally accessible.

At Bitvavo, you can purchase, hold, and trade just under 200 digital assets. The platform boasts a total trading volume of more than a billion euros and over a million active users.

Aurus

Aurus was also launched in 2018, riding on the coattails of 2017’s crypto bull run. It was created with the purpose to make precious metals universally available. The platform aims to cooperate with conventional market players, encouraging them to use the right apps and tools to guarantee global access to precious metals.

Aurus utilizes blockchain to enable precious metals companies democratize the assets they offer and generate passive rewards in the DeFi space at the same time.

Aurus gives access to the infrastructure, software, and networks for gold, silver, and platinum businesses to become one with Web3 and DeFi apps. Users of the platform enjoy access to a vast market and a multitude of state of the art products.

Aurus makes every effort to work together with traditional companies dealing with gold, silver, and platinum to develop and improve the whole market.

Litebit

Litebit is a project built by a small group of passionate crypto fans. It was created to help people transact in crypto and make trading simple. They started by listing Litecoin (LTC) and Bitcoin (BTC) at the end of 2017. That’s when many of their current European users discovered them.

Litebit’s success peaked with the bull market of the time. They started with about a dozen staff members and moved to a new head office near Rotterdam. Today, the team is composed of almost 100 professionals. They won the Best Broker award in 2019 and 2020.

Bitonic

Bitonic was the first Bitcoin enterprise in the Netherlands, established back in 2012. Among their best-known products are the Bitonic Verification App and the savings service Bits.

The application was developed to deliver clients a quick and smooth confirmation process. To do this, Bitonic utilizes NFC features passports and ID cards are issued with as well as Machine Readable Zone (MRZ) capabilities integrated in them. These tools allow the platform to scan the personal information within passports and other official documents safely and securely and make sure the contents are verifiable at once.

Bitonic has been loyal to tradition ever since its founding more than a decade ago. The first Dutch company to launch services related to the flagship crypto has a staunch belief in education. They believe education’s role in the volatile market is crucial and stimulate forward thinking.

With that in mind, they created Bits, a savings service that lets users purchase small amounts of Bitcoin at regular intervals they choose — once a week, once a day, or once a month.

They sponsor Het Nieuwe Geld, a podcast exploring the characteristics and mechanisms of the fiscal system, fiat money, digital assets, and everything related to those in-depth and objectively.

The purchases are automated, doing away with the hassle of manual trading. Also, the tool is capable of market timing, ensuring the best returns on Bitcoin.

If you buy small amounts daily or weekly, your savings can be paid out to you in one single transaction rather than numerous ones. This feature lets people save funds and receive them at a chosen period in time, saving a lot on transaction fees and minimizing the Bitcoin network carbon footprint.

Conclusion

The Netherlands has a relatively active and growing cryptocurrency market, with a supportive regulatory environment and many successful crypto and blockchain projects. It’s a great place to invest and trade in digital assets.

Loved this article and want to know more about crypto projects in different countries? We have written about Germany, South Korea, Brazil, UAE, Australia, Nigeria, Mexico, India, Russia, Vietnam, USA, Switzerland, Portugal, Finland, Japan, Philippines, Iceland, Canada and Turkey.

SimpleSwap reminds you that this article is provided for informational purposes only and does not provide investment advice. All purchases and cryptocurrency investments are your own responsibility.

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