EU authorities intend to introduce comprehensive anti-money laundering (AML) rules, which will include a ban on anonymous cryptocurrencies starting in 2027. According to the new directive, credit organizations, financial institutions, and cryptocurrency service providers (CASPs) will be prohibited from servicing anonymous accounts or working with privacy-preserving cryptocurrencies, such as Monero (XMR) and Zcash (ZEC).
What else is known?
"Credit organizations, financial institutions, and cryptocurrency service providers are prohibited from having anonymous accounts," the Anti-Money Laundering Guidelines state.
The regulation is part of a broader AML framework that includes "cryptocurrency accounts that allow anonymizing transactions" and "accounts using coins that enhance anonymity."
One of the leading cryptocurrency exchanges, Kraken, began delisting anonymous cryptocurrencies in Europe back in April 2024.
At that time, the European Parliament approved the AML regulation, which will require crypto firms to collect more data about users and their transactions, enhance monitoring of non-custodial wallets, and refrain from using privacy-enhancing tools such as crypto mixers and anonymous cryptocurrencies.