<p>The important answer is on <a href="https://support.mtgox.com/entries/20568322-all-eur-transactions-will-be-temporarily-suspended-within-europe-with-immediate-effect" rel="nofollow">https://support.mtgox.com/entries/20568322-all-eur-transactions-will-be-temporarily-suspended-within-europe-with-immediate-effect</a></p>

<p>quote : </p>

<blockquote>
  <p>"While Bitcoin at a European level is so far not directly impacted by
  this decision, the Bank de France (France's central bank) has
  confirmed that because of European banking rules, monetary transfers
  (deposits and withdrawals) through a single entity are subject to
  financial regulation and therefore can only be performed by licensed
  financial institutions such as banks or Payment Service companies (the
  European Equivalent to a Money Service Business). This decision has
  forced us to find other payment processing partners within Europe that
  will allow us to quickly resume all EUR transactions for our European
  customers soon."</p>
</blockquote>

<p>To be allowed to accept deposits, keep your funds, and allow withdrawals, mtgox ( and any other European based exchange, like virwox for example ) have to be registered as a Payment Service Company (the European Equivalent to a Money Service Business).
 Since virwox is in Europe, they are probably illegal if they dont have this Payment Service Company license</p>

<p>This is true for any website or company wanting to accept deposits, keep your funds, and allow withdrawals, bitcoin related or not
 This decision is not related with bitcoin, it applies to anyone.</p>

<p>Registering as a Payment Service company takes time and is very expensive.</p>

<p>more details for :
Money Services Business  : <a href="http://en.wikipedia.org/wiki/Money_services_business" rel="nofollow">http://en.wikipedia.org/wiki/Money_services_business</a>
Payment Service provider : <a href="http://en.wikipedia.org/wiki/Payment_service_provider" rel="nofollow">http://en.wikipedia.org/wiki/Payment_service_provider</a></p>

CC BY-SA 3.0
2012-05-28T08:52:30.773Z
Such rules are typical for Europe, they should definitely get rid of them!
Steven Roose
CC BY-SA 3.0
2012-05-28T08:53:43.207Z
Now MtGox is in Poland and their bank charges 1.30 EUR for SEPA transactions!! Charging for SEPA is prohibited in more western Europe countries, but probably all of those have these silly rules
Steven Roose
CC BY-SA 3.0
2012-05-29T09:50:25.197Z
this is false, there are no EU law prohibiting banks to charge a fee for a SEPA transfer. the only EU rule is that the bank have to charge the same fee for local transfer and EU transfer ( SEPA ), the fee can be 0 eur or 100 eur they are free to charge.
neofutur
CC BY-SA 3.0
2012-05-29T10:02:00.677Z
Yes I know of that rule exactly. But countries like the one I am in, Belgium, and countries around us have another law prohibiting fees for local transfers. Implicating that SEPA must be free as well.
There is not one bank in Belgium that charges a fee for local bank transfers, so SEPA is free as well.
What I don't get is, does that Polish bank also charge 1.20 EUR for their local transfers? I can hardly imagine actually.
Steven Roose
CC BY-SA 3.0
2012-05-29T16:56:55.593Z
Please do not flag answers because you believe they are incorrect. That isn't what mods are for, that's what downvotes and comments are for.
David Perry
CC BY-SA 3.0
2012-05-30T04:23:08.337Z
well the question is not exactly about bank fees in belgium . . . i cant see how this comment could be useful , and even if its offtopic what stevenroose says "Charging for SEPA is prohibited in more western Europe countries" is just false . . . false and offtopic, not bringing anything useful to the initial topic( what happened one year ago with mtgox bank account ) , and not even related to my answer . . .
neofutur
CC BY-SA 3.0
2012-05-27T23:54:36.217Z
2012-05-29T09:59:14.247Z
2012-05-29T09:59:14.247Z
neofutur
<p>MtGox has their French bank account closed last year, as the bank stated they aren't legally allowed to undertake the activities they were doing in regards to trading Bitcoins. There have been <a href="https://bitcointalk.org/index.php?topic=41317.0" rel="nofollow">a few decisions in this regard as well as a few appeals</a>. What is the full story behind the whole issue and have any conclusions been reached?</p>

<mtgox><history><legal><banks>
What is the story behind MtGox and their French bank?
ThePiachu
# What is the story behind MtGox and their French bank?

(Asked by: username_0 on 2012-05-22)

MtGox has their French bank account closed last year, as the bank stated they aren't legally allowed to undertake the activities they were doing in regards to trading Bitcoins. There have been [a few decisions in this regard as well as a few appeals](https://bitcointalk.org/index.php?topic=41317.0). What is the full story behind the whole issue and have any conclusions been reached?

**Tags:** mtgox, history, legal, banks


---

## 1 answers

### Answer by username_1 on 2012-05-27. Score: 3 | Accepted answer

The important answer is on <https://support.mtgox.com/entries/20568322-all-eur-transactions-will-be-temporarily-suspended-within-europe-with-immediate-effect>

quote :

> "While Bitcoin at a European level is so far not directly impacted by
> this decision, the Bank de France (France's central bank) has
> confirmed that because of European banking rules, monetary transfers
> (deposits and withdrawals) through a single entity are subject to
> financial regulation and therefore can only be performed by licensed
> financial institutions such as banks or Payment Service companies (the
> European Equivalent to a Money Service Business). This decision has
> forced us to find other payment processing partners within Europe that
> will allow us to quickly resume all EUR transactions for our European
> customers soon."

To be allowed to accept deposits, keep your funds, and allow withdrawals, mtgox ( and any other European based exchange, like virwox for example ) have to be registered as a Payment Service Company (the European Equivalent to a Money Service Business).
Since virwox is in Europe, they are probably illegal if they dont have this Payment Service Company license

This is true for any website or company wanting to accept deposits, keep your funds, and allow withdrawals, bitcoin related or not
This decision is not related with bitcoin, it applies to anyone.

Registering as a Payment Service company takes time and is very expensive.

more details for :
Money Services Business : <http://en.wikipedia.org/wiki/Money_services_business>
Payment Service provider : <http://en.wikipedia.org/wiki/Payment_service_provider>

> **Comments:**
> **username_2**: Such rules are typical for Europe, they should definitely get rid of them!  
> **username_2**: Now MtGox is in Poland and their bank charges 1.30 EUR for SEPA transactions!! Charging for SEPA is prohibited in more western Europe countries, but probably all of those have these silly rules  
> **username_1**: this is false, there are no EU law prohibiting banks to charge a fee for a SEPA transfer. the only EU rule is that the bank have to charge the same fee for local transfer and EU transfer ( SEPA ), the fee can be 0 eur or 100 eur they are free to charge.  
> **username_2**: Yes I know of that rule exactly. But countries like the one I am in, Belgium, and countries around us have another law prohibiting fees for local transfers. Implicating that SEPA must be free as well. There is not one bank in Belgium that charges a fee for local bank transfers, so SEPA is free as well. What I don't get is, does that Polish bank also charge 1.20 EUR for their local transfers? I can hardly imagine actually.  
> **username_3**: Please do not flag answers because you believe they are incorrect. That isn't what mods are for, that's what downvotes and comments are for.  
> **username_1**: well the question is not exactly about bank fees in belgium . . . i cant see how this comment could be useful , and even if its offtopic what username_2 says "Charging for SEPA is prohibited in more western Europe countries" is just false . . . false and offtopic, not bringing anything useful to the initial topic( what happened one year ago with mtgox bank account ) , and not even related to my answer . . .  

---

