Think about it, the ring signature technology of Monero and the zero-knowledge proofs of Zcash, these "black technologies" that once made hackers and money launderers rejoice, have now become ticking time bombs on the path to compliance. Even more astonishing is that while self-custody wallets have not been directly banned, as long as a transfer exceeds 1000 euros, exchanges must peel away your identity information like checking a household registration: name, address, source of funds, none can escape!

The market reaction is even more surreal: as soon as the news broke, the prices of privacy coins first plummeted, but the next day, Monero actually rose by 5%! This operation made retail investors exclaim, "The stricter the regulation, the stronger the faith." However, experts warn that this is just the calm before the storm — once the deadline in 2027 arrives, these coins will either be rebranded or completely fade away.

2. Self-custody wallets: seemingly free, but actually monitored everywhere.

Do users of self-custody wallets think they can escape disaster? Naive! The new regulations require exchanges to perform "Customer Due Diligence" (CDD) on every transfer coming from a self-custody wallet. For example: you use a cold wallet to transfer to exchange $USDC .