FinCEN withdraws proposed crypto mixing rule
FinCEN withdraws crypto mixer rules, easing compliance pressure on digital assets See what the rollback means for businesses and the wider U.S. crypto market
The US Treasury’s Financial Crimes Enforcement Network has withdrawn two proposed rules covering unhosted wallets and crypto mixing services. The agency said the decision follows review of public comments and fits with the Trump administration’s broader deregulation agenda.
One of the proposals, introduced in 2023, would have added recordkeeping, verification, and reporting requirements for transactions involving crypto mixers. FinCEN said the rule could have discouraged legitimate activity and created a heavy reporting burden for covered financial institutions.
Industry groups welcomed the move, saying it could reduce compliance pressure on digital asset businesses. The withdrawal adds to a series of recent regulatory changes affecting the crypto sector in the United States.