FinCEN (US Treasury) WITHDREW two crypto proposals — Federal Register filing, effective Oct. 6, 2026. Not “legal mixers everywhere.” Not “no more AML.” This is the withdrawal of EXTRA reporting layers that never became final rules.
📋 What’s being withdrawn
1) Oct. 2023 proposal: international mixing of CVC as a primary money laundering concern (Patriot Act §311) + a special measure. FinCEN cites a “chilling” effect on legitimate activity and ~15,000 institutions / ~1.47 million compliance hours per year. Mixer monitoring continues; narrower rules may come later.
2) Dec. 2020 NPRM: banks/MSBs — identity verification + records for unhosted (self-custody) wallets / certain foreign wallets: reporting >$10k (or aggregated over 24 hours); recordkeeping >$3k.
Documents: Federal Register 2026-20429 and 2026-20430.
⚠️ What is NOT changing: crypto firms are MSBs; SARs; the ~ $3,000 travel rule for transfers.
🌍 Aïcha in Dakar keeps a small stablecoin balance in a phone wallet for family remittances. Washington didn’t ban her wallet — it withdrew an extra reporting proposal. KYC still applies on a platform. Self-custody ≠ anonymity; lose your keys = lose your funds. Local rules (BCEAO, etc.) aren’t being rewritten.
What about you: a small self-custody balance for family — or everything on a KYC platform, and why? 👇
Not financial advice. Do your own research.
Sources: Federal Register; FinCEN / US Treasury; American Banker; The Block.
#Bitcoin #FinCEN #Regulation #Crypto #SelfCustody
$BTC $USDT
📋 What’s being withdrawn
1) Oct. 2023 proposal: international mixing of CVC as a primary money laundering concern (Patriot Act §311) + a special measure. FinCEN cites a “chilling” effect on legitimate activity and ~15,000 institutions / ~1.47 million compliance hours per year. Mixer monitoring continues; narrower rules may come later.
2) Dec. 2020 NPRM: banks/MSBs — identity verification + records for unhosted (self-custody) wallets / certain foreign wallets: reporting >$10k (or aggregated over 24 hours); recordkeeping >$3k.
Documents: Federal Register 2026-20429 and 2026-20430.
⚠️ What is NOT changing: crypto firms are MSBs; SARs; the ~ $3,000 travel rule for transfers.
🌍 Aïcha in Dakar keeps a small stablecoin balance in a phone wallet for family remittances. Washington didn’t ban her wallet — it withdrew an extra reporting proposal. KYC still applies on a platform. Self-custody ≠ anonymity; lose your keys = lose your funds. Local rules (BCEAO, etc.) aren’t being rewritten.
What about you: a small self-custody balance for family — or everything on a KYC platform, and why? 👇
Not financial advice. Do your own research.
Sources: Federal Register; FinCEN / US Treasury; American Banker; The Block.
#Bitcoin #FinCEN #Regulation #Crypto #SelfCustody
$BTC $USDT