Lawmakers are planning measures that could see unregulated exchanges shut down and ending even the smallest anonymous crypto transactions.
EU lawmakers have made the decision to impose measures against anonymous crypto transactions. This move has been criticised by the industry calling it an invasion of privacy and a hindrance to innovation.
According to CoinDesk over 90 lawmakers voted in favor of the proposal.
The current proposal aims to expand anti-money laundering (AML) laws to the crypto sector, that will apply to payments exceeding EUR 1,000 ($1,114).
The new proposal will require even small crypto transaction to be identified as well as transactions occurring from unhosted or self-hosted wallets. In addition to this, unregulated exchanges may face major issues as they could be cut off from the traditional financial system.
According to Markus Ferber, th European People’s Party economic spokesperson, “Such proposals are neither warranted nor proportionate,” and “With this approach of regulating new technologies, the European Union will fall further behind other, more open-minded jurisdictions.”
In addition to this transfers made to “non-compliant” crypto exchanges will be stopped. This includes exchanges operating in the EU without the necessary authorisation to do so.
Photo by Lianhao Qu
