TechFlow News, June 20: According to Crypto.news, the European Union has approved new anti-money laundering (AML) regulations that prohibit regulated crypto enterprises from supporting privacy coins, while exempting direct Bitcoin transfers between private wallets from mandatory identity verification requirements. Under Regulation (EU) 2024/1624—which enters into force on July 10, 2027—crypto-asset service providers operating in the EU will face stricter customer due diligence obligations and new restrictions targeting services designed to enhance transaction anonymity.
Under the new framework, regulated crypto enterprises—including exchanges and custodians—must conduct full customer due diligence for ad hoc crypto transactions valued at €1,000 (approximately $1,150) or more; for transactions below this threshold, customer identification remains mandatory. The regulation explicitly bans anonymous crypto accounts and services enabling transaction anonymization or obfuscation—including those involving privacy-enhancing cryptocurrencies. However, the legislation does not prohibit individuals from holding or privately using such cryptocurrencies. Clarification documents accompanying the regulation state that identity verification requirements apply to crypto-asset service providers—not to each individual blockchain transaction—and direct transfers between self-custodied wallets are exempt from these obligations.
In addition, the regulation establishes a €10,000 (approximately $11,500) cap on cash payments for commercial transactions across the EU and expands the scope of entities subject to AML obligations to include professional football clubs, football agents, crowdfunding platforms, investment immigration firms, and luxury goods dealers.
