There has been a lot of focus on the Bitcoin situation in Estonia as of late, ever since a court ruling has lead to stricter regulation of digital currency. However, no one had assumed the consequences would be so severe that the Bitcoin exchange BTC.ee had to be shut down as well.
BTC.ee Bitcoin Exchange Bites The Dust
Amidst all of the turmoil regarding Bitcoin exchanges as of late, people would tend to forget there are other reasons besides hacking attempts as to why a platform could be shut down. Although the hacking of Bitcoin exchanges is more norm than the exception these days, BTC.ee had to shut down due to regulatory issues.
Given the recent court ruling in Estonia related to one particular Bitcoin trader, the situation has escalated in the country. Not due to violence or anything like that, mind you, but rather because the regulation of digital currency has become a lot more strict in the region all of a sudden. Needless to say, this is not doing innovation in the country any good.
However, it has to be said BTC.ee had a run in with Estonian authorities in the past, and the situation has still not been resolved. But it looks like the Bitcoin exchange is taking an entirely different approach, as owner Otto de Voogd has shut down the platform. Additional regulation for Bitcoin companies would not do anyone any good.
One of the requirements of this new regulation would be to meet customers in person, and keep IDs of every single individual using the platform. These regulations are far more strict compared to any other financial activity in the country, and it appears as if government officials want to make an example out of Bitcoin.
But BTC.ee customers do not have to fear, as De Voogd has shut down the Estonian exchange, and relaunched it in The Netherlands under the CoinEra name. It is unknown if this platform will serve Estonian customers as well, but if not, both HitBTC and SpectroCoin remain active in the region for the time being.
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