Crypto Firms Shutting down Due to New EU Regulations

December 16, 2019, by Marko Vidrih on ALTCOIN MAGAZINEThe Simplecoin mining pool and the Chopcoin gaming bitcoin platform announced their closure because of the fifth EU Anti-Money Laundering Directive, effective January 10, 2020.According to the notice on the Simplecoin website, the pool will be closed on January 1, as the new rules require the company to introduce measures to identify customers and counter money laundering that is not consistent with its own values ​​in the context of privacy.“When the laws come into effect, we would be forced to require you, the users, to identify yourselves for anti-money-laundering purposes. Mining should be available to anyone and we refuse to jeopardize our users’ privacy,” Simplecoin reports.In conversation with The Block Simplecoin co-founder Christian Grieger said that his company has 42,000 users, which are serviced by two employees. The service was launched in August 2018.“Simplecoin allowed users to save mined hashes (digital points) and cash them out for any of the supported currencies, including proof of stake coins that are no longer mineable,” he said.Simplecoin users need to withdraw assets by December 20, and by December 31 — delete information about their accounts.The Chopcoin gaming platform also co-founded by Grieger, is being closed for the same reason. Both projects have never attracted funding from venture capital firms or investors.At the end of last week, a similar announcement was made by Bottle Pay startup.“The amount and type of extra personal information we would be required to collect from our users would alter the current user experience so radically, and so negatively, that we are not willing to force this onto our community,” the company said.Author: Marko [email protected] Magazine Firms Shutting down Due to New EU Regulations was originally published in ALTCOIN MAGAZINE on Medium, where people are continuing the conversation by highlighting and responding to this story.
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Author: Marko Vidrih