EU Extends Travel Rule to Crypto-Assets
— Travel, Cryptoassets, Rule, Unhosted, Wallets, Cryptoasset, Regulation, Casp, Extends, Apply — 1 min read
The European AML/CFT legislative package aims to regulate the transfer of crypto-assets to avoid illicit flows. The TFR rules currently apply to cash transfers only. One of the main challenges with the application of this "travel rule" relates to unhosted wallets, which are crypto-asset wallet addresses held directly by their owners without using a CASP. Another issue relates to the protection of personal data as it is not envisaged to provide for specific rules of the EU General Data Protection Regulation to apply to information "travelling" under the TFR. This will therefore also need to be addressed by specific legislation. One may expect some refinement in the final text to take into account the specificities of the crypto- assets. Source