#CryptoNewss EU Introduces Stricter Crypto Transparency Laws

At the 2025 European Anti-Financial Crime Summit, Eurogroup President Paschal Donohoe announced the EU’s plan to strengthen regulations on cryptocurrency transactions. The proposed legislation will require crypto service providers to record full transaction details of both sender and receiver. This initiative builds on the EU’s 2023 Transfer of Funds Regulation, aiming for complete traceability of crypto transfers.

Starting July 1, 2027, crypto companies will be banned from processing transactions involving anonymous wallets or privacy coins. Additionally, non-compliant decentralized exchanges may face IP blocks within the EU.

While the Anti-Money Laundering Regulation applies broadly to all financial entities, some in the crypto space, like Unity Wallet’s COO, warn it could conflict with the core values of decentralized finance (DeFi). Still, due to the borderless nature of cryptocurrencies, users may turn to alternative platforms to bypass restrictions.

This move highlights the EU’s growing focus on financial transparency and crime prevention in the digital asset space.