The EU Does Not Plan to Ban Self-custodial Crypto Transactions

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Over the weekend, there was widespread panic in the crypto community due to misinterpretation of comments made by Patrick Breyer, a member of the European Parliament.

This was in response to the EU’s approval of the new EU Anti Money Laundering Regulation (AMLR) during a committee meeting.

The false information suggested that the EU was banning anonymous crypto wallets and self-custodial payments.

This caused concern among crypto enthusiasts, but many were quick to point out that the legislation did not ban self-custody and that the reports were overreacting.

It was clarified that self-custody wallets are still allowed and P2P transfers are explicitly excluded from the AMLR.

However, it was noted that using non KYC’d self custody wallets to pay merchants may become more difficult in the future. This change had been agreed upon months ago along with lower thresholds for anonymous cash payments.