European Unioncontinues to make regulations regarding the crypto money world. It was stated that regulatory tightening will increase as a result of the decision taken by the European Parliament and the Council. EU, prevent money laundering via cryptocurrencies announced its provisional agreement for
Money laundering regulation for EU crypto law
Cryptocurrencies inherently involve anonymous and confidential transfers. In other words, the identity of the sender/receiver is unknown in a crypto money transfer from one account to another. But the whole world, especially the EU, wants to prevent this secrecy.
After the joint statement of the European Parliament and the Council, some new decisions were made for cryptocurrency exchanges. At the beginning of these decisions was the obligation to verify the accounts of all users in order to prevent money laundering. well Coinbase, Binance or FTX Those who want to make digital asset transactions using exchanges such as have to share credentials.
In fact, on many crypto currency platforms KYC a named authentication service exists. But the European Parliament and the Council go a step further, requiring companies to check their customer identities. In addition, regulators will have the right to access this information when necessary.
The temporary decision taken by the EU was originally rejected by 40 companies, including Coinbase. But the European Parliament said that to prevent money laundering, recipient/sender information should be mandatory.
According to the details of the agreement, the identity information of the transferring and the transferring account, regardless of cryptocurrency or amount, must be clearly stated.
The interim decision taken by the European Parliament and Council is for the time being on the Regulation of Crypto Asset Markets (MiCA) will be included. However, a final discussion session is planned for MiCA.
So what do you think about EU crypto law? Don’t forget to share your thoughts with us in the comments section!