EU officials have approved new restrictions on anonymous transactions involving crypto assets and cash, sparking concerns about financial freedom among citizens. According to German EU Parliament member Patrick Breyer, the new rules will ban cash payments over €10,000 and anonymous cash payments over €3,000, as well as crypto payments to hosted wallets with no threshold.
Breyer warns that the crackdown on anonymous payments may have minimal effects on crime but will significantly impact innocent citizens’ financial freedom. The EU will establish the Anti-Money Laundering Authority (AMLA) to oversee the new rules, leading to increased supervision for all firms.
Regulators in other parts of the world are also tightening restrictions on digital assets, with the U.S. Treasury Department targeting self-custody crypto wallets in 2022. Deputy Secretary Wally Adeyemo expressed concerns about the anonymity provided by such wallets, which could be exploited by bad actors.
The move by EU officials and global regulators reflects a growing focus on combating illicit activities in the crypto space. Investors are advised to do their due diligence before engaging in high-risk investments in Bitcoin, cryptocurrency, or digital assets. The Daily Hodl will continue to provide updates on this developing story.
