Treasury Kills Crypto 'Unhosted Wallet' and Mixer Surveillance Rules
60-second summary
FinCEN announces it withdraws the 2020 rule that would have required reporting of “unhosted” self‑custodial wallets and scraps the 2023 proposal labeling crypto mixers as a primary money‑laundering threat, effectively easing compliance burdens for users and service providers; the reversal may spur broader adoption of privacy‑focused tools while regulators reassess broader AML strategies.
FinCEN withdrew a 2020 proposal to track transactions with self-custodial crypto wallets and a 2023 plan to designate crypto mixing as a primary money laundering concern.