The European Council and Parliament have provisionally agreed upon stricter regulations for cryptocurrency firms.
Announced on Thursday, these new guidelines mandate enhanced study by crypto firms, especially for transactions exceeding €1,000 or $1,090. These regulations focus on preventing the use of cryptocurrencies in illegal activities, aligning with the broader EU strategy against money laundering and terrorist financing.
The proposed rules place a particular emphasis on self-hosted wallets, which users rather than intermediaries directly manage. While this agreement marks a step forward, it awaits final approval from the European Parliament.
Upon approval, the Council and Parliament will need to formally adopt these rules, after which they will be officially published and enforced. This development follows the European Banking Authority’s recent expansion of its guidelines to include the crypto sector, highlighting the increasing focus on digital assets in regulatory frameworks.
Vincent Van Peteghem, Belgium’s Finance Minister, has agreed these regulations are crucial to the EU’s ongoing efforts to stop money laundering. By targeting the financial channels used by criminals and terrorists, the EU aims to close defeat in the digital asset space.
This move comes after last year’s passage of the Markets in Crypto Assets (MiCA) regulation, which established clearer rules governing cryptocurrencies.
Also Read: EU Banking Authority Expands AML Guidelines to Crypto Sector
