European Union to Put a 10,000-Euro Limit on Cash Payments; Transactions Over €1,000 in Crypto Will Be Scrutinized – Regulation Bitcoin News

European Union states have convened to impose new limits on cash purchases and tighten controls over cryptocurrency transactions. On Nov. 6, Brock agreed to impose a €10,000 ($10,557) limit on cash payments and put stronger scrutiny on crypto transactions above €1,000 ($1,055).

European Union to limit cash use, ostensibly to fight money laundering

countries of the European Union announced A series of new directives to make it more difficult to use cash and other alternative currencies like crypto for criminal purposes. On November 6, the EU approved new limits on cash payments, capped at a maximum of €10,000 ($10,557) across all member states. However, countries can further reduce restrictions.

Currently, Spain has the lowest limits in this regard, with citizens only being able to pay up to €1,000 ($1,055) in cash. However, the European Central Bank (ECB) expressed There was disagreement over this in 2018 when the agency labeled the measure “disproportionate” because it could limit the use of cash as effective fiat currency.

It’s not just cash payments that will be affected by this new measure. Other sectors, including jewelery and goldsmithing, will also face increased control from the organization.

Czech Republic Minister of Finance Zvinek Stanjur said:

Cash payments over €10,000 will no longer be possible. Maintaining anonymity when buying and selling crypto assets becomes much more difficult. Hiding behind layers of corporate ownership no longer works. It is even more difficult to clean money that has been stained with jewelry or goldwork.

The block will also introduce a new country system classification that reflects a country’s level of compliance with the Financial Action Task Force (FATF) recommendations, including greylisting and blacklisting.

Also includes crypto trading

As Stanjur noted, cryptocurrencies will also be included as part of this line of action. The European Union has agreed that cryptocurrency transactions with a value greater than €1,000 ($1,055) will face due diligence scrutiny by the virtual asset service providers (VASPs) that facilitate them.

The European Union will also subject VASPs to the same level of anti-money laundering and terrorist financing scrutiny that other financial institutions already face. These exchanges and custody providers must implement risk mitigation factors when dealing with self-hosted wallets and other specific measures to control cross-border payments using cryptocurrencies.

What do you think of the latest set of anti-money laundering measures adopted by the European Union? Let us know in the comments section below.

Sergio Goshenko

Sergio is a cryptocurrency journalist based in Venezuela. He explains that he entered the cryptosphere in December 2017 when the price hike happened, and fell behind the game. Computers With an engineering background, living in Venezuela, and influenced by the cryptocurrency boom on a societal level, he offers a different perspective. About the success of crypto and how it can help the unbanked and underserved people.

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