Topic: The EU May Vote to Ban Anonymous Crypto Payments (Read 578 times)

Actually the reason for the Europe and Russia was in different manner.Russia had banned the bitcoin for their holding,but the same Russia had changed his stand on his demand.Now the Eurozone do the same on different manner to revolts against the Russia.If they react to the normal way or directly this may leads to the world war.It’s only reason for the American to be silent.

Small, regular payments can easily be detected and blocked. That's no good workaround.

One might be inclined to think that exchanges (the more strict ones, that is) will simply check to see whether  a particular address has transactions to one of its own internal address. Exchanges, by nature, do not know the addresses of other exchanges and thus would consider them private too. That means a KYC is prompted for fresh addresses as well as during inter-exchange balance transfer.

I will have a read of that later, there is a lot to digest....

From the coindesk article posted above I'm a bit confused about certain points like:


What the Fock does that mean and if it mean what I think it means, how can it be implimented,
Private wallets are......private.


The bottom line for me is this:


So a work around would be to make smaller payments/transfers.

Hey guys, if you wanto have a look at the final proposals of the actual draft, you can read them here.

Since Russia had started to use of crypto for the exports payments from various countries.From this Russia had get enough money from the bitcoin and their move towards the war was not changed yet.And the trade of crypto in the Eurozone,the traders was not paying of taxes.So EU will use this option.

Perfect comparison. Europe is no more innovation driving force. The Block is overburdened and overregulated. Maybe GB decision on leaving EU was a right one.

If you translate this AML crypto bill to a cash payment it would be something like:
In every cash payment the serial numbers of the bills have to be logged together with the ID of the customer.
And: when you get cash out of an ATM the bill's serial numbers are logged to your id.

Crazy.

From the link posted by @Beparanf.

Now the only question is how quickly things will develop, and how the member states will react to this proposal. It should be noted that although the EU Parliament votes on something, it is a long way to the current implementation in a member state - and in the end, some member states do not have to accept it.

Sanctions against Russia are currently in their favor and now they have a good excuse for such a law, of course with the classic nonsense about how to protect the environment, prevent the financing of terrorism and money laundering, illegal migration and everything else they can think of and blame Bitcoin.

Based on the first bullet point on that screenshot, it's slightly worse than that...

Something like that, but realistically, I don't think they'd be able to ask for such information if the other end is "not" a centralized exchange.

AFAICS, there's no restriction with keeping your funds on a non-custodial wallet.

I don't think they'd be able to successfully kill a real decentralized exchange.

Lol. Have seen our IQs. Theymos' april's fools again.

Yesterday I saw a comment on reddit saying that this is only a first legislative step and that a law as such coming into force may take up to 2 years to be finally approved and between now and then there may be amendments.

But we are off to a bad start. I think the global trend will be similar, if we take into account what has happened in Canada and other countries, for example, will be towards a KYC control of the maximum possible transactions by the public authorities, and there will always be some things you can do p2p (using vpn and who knows with what wallet), but the goods and services you can acquire will be very small, like the currency exchange. I think the next step will be to try to kill DEX.

This is what you get when uninformed people get to vote on something. And I'm being generous calling these people uninformed.
More likely they've been lobbied/paid off by the big EU banks.

Every address must be verified
So every time when you send something from a hardware wallet like ledger of trezor and the balance is written to a new address in the same wallet you will have to re-verify that new address ??

It just means that since it is impossible to do this verification, every licensed exchange in the EU will only accept fiat in/out and no longer crypto in/out.
This effectively means that you can no longer make any commercial transfers with crypto, only pure speculative buying/selling of crypto is still allowed.
On top of that all of your crypto must now be held in an exchange, meaning you cannot hold your private keys and when a hack happens you lose everything... very secure indeed. Or when the government snaps its fingers, all you crypto is frozen or simply confiscated.

The current AML crypto regulation violates so many EU privacy laws it cannot really pass in its current form.

European Union Parliament just voted in favour of amendments to AML regulation that:

(A) Effectively outlaw unhosted wallets.
(B) Lead to unwarranted mass surveillance.
(C) Subject crypto to more onerous standards than fiat.

Source: https://www.coindesk.com/policy/2022/03/31/eu-parliament-votes-on-privacy-busting-crypto-rules-industry-rails-against-proposals/

This issue is worst than Pow-ban because the affected user is very massive while this new regulation approval moving so fast if ever no one challenge that.

The FUD start when everyone is having fun on the bull run.  

The vote would be more serious if Bitcoin had a role in what is happening in Ukraine as lawmakers would find a perfect argument to ban non-verified remittances but I don't think such a “ban” would be effective unless there were penalties for traders.
The other thing that might drive them to that is tax evasion but I don't think they will go that far they will focus on the over-euro and above 5k traders

They are just presenting this bill to end the privacy of users and keep the full record of the transactions by giving out the whole lame excuses under AML policy.They are requiring the whole lot of information from the exchanges to discharge the recipient details worth over 1000 Euros which is insane because these amounts are way too low.

See this :


The people sitting in the cabinet rejected the past bill which was against these POW coins and this was thought to be good decision but the main concern had now started for the EU residents as the crypto tracking bill is on the way.

They have stated the same old excuse of can't track the bitcoin related transaction and they are being used in illicit activities which is nonsense but they won't agree on this part and come up with such regulations which are against people's privacy.

EU new travel transactions bill

They are making another attempt to make it centralised system through these exchanges where they can track you but the fact is your funds are not safe over these exchange at the first place only so you are prone to risk already.The banking system is also their authority and they will take any decision to make it shine among the people defaming the bitcoin specially but the reality can't be kept secret from people.

In the name of regulations they are making worse decisions which needs to rejected at any cost and people needs to raise their voice against it so that they can't rule over them what they have been doing from ages.

When I see what kind of freaks there are in the EU Parliament and all other institutions, no decision can surprise me, especially if we take into account that bureaucrats make decisions about something they don't really understand. The lobby, which wants to make Bitcoin as unattractive as possible, is doing its job well, but this is not surprising if we know that they are financed by the most powerful EU banks.
 

The thing is, people rarely use Bitcoin to pay for goods and services, so they don’t react to things like this. While this is not something that can have a positive effect on the greater adaptation of Bitcoin, it is to be hoped that the EU will not follow the example of Turkey or Thailand banning cryptocurrencies as a means of payment.

I have claimed before that the authorities have very good tools to limit Bitcoin, only they (most) have not used them so far.

Interestingly, Monero does not seem to drop during these news but instead goes bullish.  May coincide with Bitcoin's bull run, may not.  Still, their community seems to always take this news as proof Monero's purpose is fulfilling.

I call this bullshit.  They are looking for the perfect reason to call for a crackdown.  Before, it was terrorism and Money Laundering.  Hacks.  Scams.  Drug deals.  Now, it is Russians.  Seems like they are trying to use this war as a ramp for their more intrusive laws and orders.  They are really drooling for that ban, are they not?

Even if approved.  I doubt it will have any long term effect.  Their efforts of making the decentralized centralized are going to be all in vain.  I agree it may be a huge blow at first.  But how much longer would we all remain silent in the face of these laws?  They already got their information by imposing KYC on almost all exchanges.  This one, I am not sure it would work.

-
Regards,
PrivacyG

Exactly, it'd be multiple layers of collateral damage without "fully" achieving what they're trying to do ^{[no doubt there's an ulterior motive]}!

Interesting article...

• Quote from: Poker Player on March 30, 2022, 10:17:08 PM
  if the bill is passed as is, then we won't be surprised if the price goes down.
  
  There might be a temporary shock, but I expect a fast recovery after seeing that there are some workarounds...
  
  
  Quote from: Poker Player on March 30, 2022, 10:17:08 PM
  And the bad thing is that if this legislation is passed, other countries may look at it and think of passing similar legislation.
  
  Unfortunately, that's true.

The fact is that if the regulation is approved, it will be a blow to people living in the EU. Although those who want privacy will be able to bypass these restrictions, it will be a blow to the market in the EU. Companies that accept Bitcoin payments will have to identify the buyer even for a payment of 10 euros.

Voting will take place today: Crypto Privacy Positions Harden Ahead of Crunch EU Vote.

This thread went unnoticed for the first few days. In fact, I posted it in Bitcoin Discussion and had to move it here because it was going to disappear due to lack of responses. Now there is a similar one in Economics.

I say this because it doesn't seem to have garnered much interest but if the bill is passed as is, then we won't be surprised if the price goes down. And the bad thing is that if this legislation is passed, other countries may look at it and think of passing similar legislation.

This just forces those who want to evade sanctions to move their activities to the underground exchanges and decentralized platforms ^{[they'd never be able to "completely" stop such transactions from reaching their destinations]}!

That'd only work if the other end is not a non-custodial wallet.

All CEX doing business in EU will be impacted if this draft is voted as a law. A full kyc will be mandated and people won't be able to use CEX without identifying themselves. That's a big blow to the cryptos in general.

However, it is very difficult to track every single transactions and identify its origin. So even if it becomes a law, there's very little chance that the administration will be able to identify the transaction unless it is done through a EU based CEX. It's easier said than done!

If governments want to restrict cryptocurrency usages, they will aim at private coins first. They have due diligent to aim at such ones  because of money laundering activities are more favorite via private coins.

There are challenges for them to break down private coins and their transactions. I see there are many efforts and some reports that Cipher Trace successfully breaks it down. CipherTrace Files Two Monero Cryptocurrency Tracing Patents. So far, Monero is still here and it has still been listed on may Tier-1 exchanges

In-dark money laundering will use such coins first so let's see what's next for private coins.

For what reason Europe Union have taken the decision is an agreeable one. The world has tried all ways to stop the war, but Russia is strong in its decision and finds alternate ways to overcome the sanctions. This voting will restrict Russians as well as affect the European Union countries. Already few countries like Singapore, Japan, have set their limits and this isn't out of voting, but sticking to the rules and regulations framed by the government.

Canada have got the same limitations of requiring recipient details when the amount is above $800. I find this as a beginning point to have track of the cryptocurrency transactions, as the money inflow is quite high and governments doesn't have a proper frame work to tax.

Taking measures on the usage of centralized exchanges is fine, because majority of the CEX support trading and other activities only after fulfilment of KYC. This affecting the non-custodial wallet transactions is the negative thing that should not happen.

If this news sounds familiar, you haven't dreamed it. Last year there was already a similar news, which fortunately came to nothing:

EU wants to ban crypto anonymous transactions and wallets.

In fact, if you google: "eu to ban anonymous crypto wallets", the first thing you get is news from last year:

No, the European Union Is Not ‘Banning Anonymous Crypto Wallets’

I had to set my search preferences to the last week to get the current news:

EU Legislators May Vote to Ban Anonymous Crypto Payments

"According to new reports, EU legislators could block transfers to flagged jurisdictions and enforce ID  check on all crypto transactions.

Urged on by Russia’s increased focus on crypto to evade financial restrictions, lawmakers worldwide are reviewing regulations with renewed intensity. The European Union has not fallen behind in this global movement. The possible success of the upcoming vote will translate into a lot of changes for EU crypto users.

Additionally, the vote could also restrict transactions to non-custodial wallets.

...the proposed measures are likely to apply regardless of the quantity of crypto being transacted.

The present regulatory framework only enforces this for transactions scaling $1,099. However, the Union’s governments have supposedly sighted a loophole. To evade the prescribed limit, crypto users could divide the funds and conduct smaller transactions. The term for this is “smurfing.”."

I think that, although I understand that people will be able to bypass this ban using Tor and vpn, this can do a lot of damage to Bitcoin, because for starters, companies that sell Bitcoin in the EU (for example Bitrefill), will not be able to accept payments without identifying who pays (KYC).

Let's hope it is not approved, at least in these terms.