#EUPrivacyCoinBan

The European Union is set to ban anonymous cryptocurrency accounts and privacy-focused cryptocurrencies like Monero and Zcash by 2027. This measure is part of a broader Anti-Money Laundering Regulation (AMLR) aimed at increasing transparency in the crypto sector and combating financial crime.

Under the new rules, financial institutions, credit entities, and crypto asset service providers (CASPs) will be prohibited from managing anonymous accounts or supporting privacy coins. The EU aims to close loopholes that could be exploited for illicit activities.

The Anti-Money Laundering Authority (AMLA) will oversee compliance, directly supervising CASPs operating across at least six member states starting July 1, 2027. Crypto businesses face the challenge of adapting to these new regulations, which include stricter identity verification for transactions over €1,000. While supporters believe this will curb illegal activities, critics worry about the impact on financial privacy.