The European Union tightens the grip on anonymity in the crypto sector

From 2027, confidential tokens and anonymous accounts will be banned, marking a historic turning point for the ecosystem.

The European Union is clamping down on anonymity in the crypto sector. As of 2027, confidential tokens and anonymous accounts will be banned in a historic turning point for the ecosystem. The goal: to strengthen the fight against money laundering and impose total transparency on market players.

The war against crypto anonymity intensifies

The European Union is taking a new step in its fight against money laundering: from 2027, anonymous cryptos, including privacy tokens like Monero or Zcash, will be banned from the European market. This measure is part of the new Anti-Money Laundering Regulation (AMLR), recently finalized by European institutions.

Article 79 of the regulation stipulates the formal prohibition for financial institutions, banks, and crypto service providers (CASPs) from maintaining or managing anonymous accounts. Also targeted are crypto accounts enabling transaction anonymization and wallets using privacy-focused coins.

A radical change for CASPs in Europe

With the AMLR, CASPs active in at least six member states will be subject to direct supervision by the new anti-money laundering authority (AMLA) starting July 2027. AMLA plans to select 40 entities based on strict thresholds:

CASPs will also have to implement identity verification procedures on all transactions exceeding 1,000 euros. These new rules complement the MiCA framework, already in force to supervise crypto providers’ activities. They reflect Brussels’ desire to curb illicit use of cryptocurrencies while strengthening sector oversight.

What consequences for the crypto ecosystem?

This regulatory toughening will force centralized crypto players to review their internal practices, while decentralized projects could find themselves marginalized on European soil. The debate on privacy protection versus financial transparency is reignited. Which side are you on?

With the ban on anonymous cryptos, the EU sends a strong signal: the era of anonymity is coming to an end at the same time Europe stealthily advances towards a cashless society. While transparency is becoming the norm, this regulation could also slow decentralized innovation. A new era begins, balancing increased surveillance and questions about fundamental digital freedoms.