🚨 Time is Running Out: Reserve Your Spot in the Lucky Draw & Claim Rewards! START NOW
Learn to gain real rewards

Learn to gain real rewards

Collect Bits, boost your Degree and gain actual rewards!

New
Video Courses
Video Courses
Deprecated
Scale your career with online video courses. Dive into your learning adventure!

Anonymous Crypto Transactions to Be Banned in the EU

Anonymous Crypto Transactions to Be Banned in the EU

Key Takeaways

  • The European Parliament's leading committees have approved legislation to ban anonymous cryptocurrency transactions.
  • The legislation includes restrictions on anonymous cash transactions, with specific limits for commercial and business transactions.
  • The decision has sparked debate within the cryptocurrency community, highlighting tensions between regulatory oversight and the preservation of privacy and autonomy in digital finance.

UpdatePatrick Hansen, director of EU Strategy and Policy at Circle, has explained on X that a ban on anonymous crypto transactions was proposed in a previous version of the anti-money laundering (AML) legislation, however, this version has been scrapped.

According to him, the AML regulation will require crypto asset service providers to follow standard procedures, such as customer due diligence, which they are already subject to under the current AML directive.

How to Pick the Right DeFi dApp? (Dos and Don’ts Explained)

Did you know?

Want to get smarter & wealthier with crypto?

Subscribe - We publish new crypto explainer videos every week!

How to Pick the Right DeFi dApp? (Dos and Don’ts Explained)

How to Pick the Right DeFi dApp? (Dos and Don’ts Explained) How to Pick the Right DeFi dApp? (Dos and Don’ts Explained)

The European Union is taking significant steps towards tightening the reins on the cryptocurrency market by introducing new laws aimed at anti-money laundering (AML) and countering terrorism financing.

The European Parliament's leading committees have given their nod to a proposal to ban anonymous crypto transactions.

This encompasses transactions of any value executed through hosted or custodial wallets provided by third parties, such as centralized exchanges.

The push for stricter regulation follows an agreement between the European Council and Parliament to broaden the scope of the EU's AML and counter-terrorism financing directives to include the crypto market.

However, the ban has not been without its critics. Patrick Breyer from the Pirate Party of Germany and Gunnar Beck from Alternative for Germany stood against the majority, voicing concerns over privacy and economic freedoms.

The forthcoming legislation also sets forth limitations on anonymous cash transactions, imposing a cap of 3,000 euros for commercial dealings and outright banning cash transactions exceeding 10,000 euros in a business context.

The legislation is expected to be fully operational within three years from its effective date.

As the crypto community grapples with these changes, the implications of this legislation will undoubtedly be felt worldwide, challenging the notion of anonymity that has long been central to the ethos of crypto transactions.

In other news from the European crypto regulation front, the European Banking Authority (EBA) has recently issued the final draft Regulatory Technical Standards (RTS) specifically targeting stablecoins tied to multiple currencies.

Aaron S., Editor-In-Chief
Having completed a Master’s degree in Economics, Politics, and Cultures of the East Asia region, Aaron has written scientific papers analyzing the differences between Western and Collective forms of capitalism in the post-World War II era.
With close to a decade of experience in the FinTech industry, Aaron understands all of the biggest issues and struggles that crypto enthusiasts face. He’s a passionate analyst who is concerned with data-driven and fact-based content, as well as that which speaks to both Web3 natives and industry newcomers.
Aaron is the go-to person for everything and anything related to digital currencies. With a huge passion for blockchain & Web3 education, Aaron strives to transform the space as we know it, and make it more approachable to complete beginners.
Aaron has been quoted by multiple established outlets, and is a published author himself. Even during his free time, he enjoys researching the market trends, and looking for the next supernova.

Loading...
binance
×
Verified

$600 WELCOME BONUS

Earn Huge Exclusive Binance Learners Rewards
Rating