CEO of Coinbase Brian Armstrongstated that the new law on cryptocurrency wallets adopted by the European Union is anti-innovation, anti-privacy and anti-law.
the Economic and Monetary Affairs Committee of the EU Parliament and the Civil Liberties, Justice and Home Affairs Committee; accepted a proposal that would require crypto exchanges to collect and send information from customers using self-hosted digital wallets.
Posting on his Twitter account, Armstrong stated that exchanges are abstaining from this law because it will create a surveillance regime for crypto.
“By Parliament Fund Transfer RegulationThe latest draft of FIAT treats crypto and every person who owns crypto differently from FIAT. Every crypto transaction (not just the 1000 euro threshold as in FIAT) will comply with the “travel rule”.
The policy’s crypto users and Coinbase Armstrong, who also shared his views on how it can affect the stock markets, especially:
“Before sending and receiving crypto from a self-hosted wallet, Coinbase will need to collect, collect, and verify information about the other party that is not our client before the transfer is allowed.
Also, when you receive 1,000 euros or more in crypto from a self-hosted wallet, Coinbase will need to report you to the authorities. This transaction or wallet is valid even if there are no signs of suspicious activity.”
Armstrong stated that the new law contradicts privacy standards adopted by the EU.
“This takes away all of the EU’s work towards becoming a global leader in privacy law and policy. It also disproportionately punishes crypto holders and erodes their individual rights in deeply relevant ways. This is bad policy.”