started · updated
FinCEN withdraws proposed crypto wallet and mixer rules
The U.S. Financial Crimes Enforcement Network (FinCEN) has officially withdrawn two major proposed rules targeting the cryptocurrency sector. The first, a 2020 proposal, would have imposed strict reporting, recordkeeping, and identity verification requirements on transactions involving unhosted or self-custody wallets. Specifically, it sought to mandate reporting for transactions exceeding $10,000 and recordkeeping for those over $3,000.
The second withdrawn rule, proposed in 2023, aimed to impose stricter compliance and reporting standards on cryptocurrency mixing services. FinCEN noted that these broad requirements could have created a chilling effect on legitimate financial activity and imposed excessive compliance burdens on institutions.
These withdrawals are part of the Trump administration’s broader deregulatory agenda to ensure digital asset regulations are “fit-for-purpose.” Because the rules were only in the proposal stage and never finalized, existing regulatory obligations for financial institutions remain unchanged.
Simultaneously, the Commodity Futures Trading Commission (CFTC) is moving to establish its own regulatory framework. Following the failure of the Clarity Act in the Senate, the CFTC has proposed new rules to oversee crypto asset transactions and markets, specifically focusing on leveraged trading and retail operations.
Entities
CFTC · CLARITY Act · Commodity Futures Trading Commission · Donald Trump · Federal Reserve · FinCEN · Kbw · Michael Selig · Securities and Exchange Commission · Trump administration · U.S. Department of the Treasury
Claims
What the coverage asserts, and how many sources carry each claim.
- [● 2 SOURCES] The withdrawal of these proposals leaves existing financial institution obligations unchanged. www.crypto-insiders.nl · coinedition.com
- [● 3 SOURCES] The 2020 proposal would have required recordkeeping for transactions over $3,000 involving unhosted wallets. www.tronweekly.com · blockchainreporter.net · coinedition.com
- [● 7 SOURCES] FinCEN is withdrawing the 2020 and 2023 crypto proposals. www.criptonoticias.com.br · www.tronweekly.com · blockchainreporter.net · www.crypto-insiders.nl · www.blocktempo.com · +2 more
- [● 5 SOURCES] The 2023 proposal targeted cryptocurrency mixing services. www.criptonoticias.com.br · www.crypto-insiders.nl · www.blocktempo.com · coinedition.com · www.pymnts.com
- [● 3 SOURCES] The withdrawal is part of the Trump administration’s deregulatory agenda. www.criptonoticias.com.br · www.blocktempo.com · www.pymnts.com
- [● 3 SOURCES] Regulators cited concerns that the rules could have a chilling effect on legitimate activity. www.crypto-insiders.nl · coinedition.com · www.pymnts.com
- [● 2 SOURCES] The 2020 proposal would have required reporting for unhosted wallet transactions exceeding $10,000. www.tronweekly.com · blockchainreporter.net
- [● 4 SOURCES] The CFTC has proposed a new regulatory framework for crypto asset transactions and markets. newsbit.nl · journalducoin.com · www.blocktempo.com · criptotendencia.com