The European Union has adopted new Anti-Money Laundering Regulation (AMLR) to increase oversight within the crypto market. A key aspect of this regulation is the ban on anonymous crypto wallets and privacy coins like Monero, Zcash, and Dash, set to take effect by July 1, 2027.
This move aims to enhance transparency and combat illicit financial activities within the cryptocurrency ecosystem. Financial institutions and crypto-asset service providers (CASPs) will be prohibited from managing accounts that enable anonymous transactions or support privacy-focused cryptocurrencies.
While supporters argue this will curb illegal activities, critics voice concerns about undermining financial privacy rights and hindering innovation. The implementation of these regulations will be overseen by the new Anti-Money Laundering Authority (AMLA). This ban signifies a major shift in the EU's approach to crypto regulation, potentially setting a global precedent for stricter oversight.
