Update (August 13, 9:33 PM UTC): This article has been updated to clarify that Google's new requirements do not apply to non-custodial wallets.
Google Play will require cryptocurrency wallet providers in 15 regions, including the United States and the European Union, to adhere to "industry standards" and obtain licenses, but this will not affect non-custodial wallets.
According to Google Play's policy statement, the changes will take effect on October 29. Developers in the U.S. must register with local regulators as money service businesses or money transmitters, while those in the EU must register as crypto asset service providers (CASPs).
In the U.S., money service businesses registered with the Financial Crimes Enforcement Network (FinCEN) must meet specific requirements, including implementing a written anti-money laundering plan. This may promote wider adoption of Know Your Customer (KYC) verification and other measures.
In response to opposition from the crypto community, Google clarified the impact of relevant policies on X, stating: "Non-custodial wallets are not within the scope of Google Play's cryptocurrency exchange and software wallet policies. We are updating the help center to clarify this."
The tumultuous history of Google Play with crypto apps
Google Play has had a tumultuous history with the crypto industry. In 2018, it banned crypto mining apps, and in 2020, it removed (Bitcoin Explosion) video games, and that same year, it inexplicably delisted crypto news apps including Cointelegraph and Coindesk.
In 2021, it disabled eight "deceptive" crypto apps that allegedly tricked users into paying for fake cloud services.
In 2023, Google announced that it would allow games featuring non-fungible tokens (NFTs), but required developers to disclose this feature and prohibited gambling elements, as well as disabling the "loot box" feature that offers random items.
According to the blockchain content page of the Google Play Store, special attention is currently required for four types of applications: cryptocurrency exchanges and software wallets, crypto wallets, applications that distribute tokenized digital assets, and NFT gamified applications.