EU Plans Privacy Coin and Anonymous Wallet Ban by 2027
EU plans to prohibit privacy coins and pseudonym crypto wallets by 2027 under AMLR.
Crypto asset service providers face new rules to ensure transparency.
AMLR prohibits anonymized transactions and privacy-focused cryptocurrencies.
Beginning in 2027, the European Union plans to outlaw pseudonym cryptocurrency accounts and safeguarding confidentiality coins.
The measures are supposed to be an increase in oversight in the crypto sector and are part of the new Anti Money Laundering Regulation (AMLR).
Financial institutions, credit entities, and crypto asset service providers (CASPs) will be prohibited from managing anonymous accounts and supporting privacy-focused cryptocurrencies such as Monero and Zcash.
The aim of this is to make digital transactions more transparent in an effort to help fight financial crimes.
In response to these changes, the European Crypto Initiative (EUCI) has released a comprehensive guide “The AML Handbook” to help cryptocurrency businesses understand and comply with the new rules. It specifies what CASPs have to undertake to guarantee AMLR compliance; how it influences EU-based CASPs.
