US Treasury withdraws $250 crypto transfer proposal
6.7 Regulation US regulators withdrew a proposal to lower the crypto transfer reporting threshold from $3,000 to $250, keeping current rules after public opposition and industry feedback.
The U.S. Treasury Department’s Financial Crimes Enforcement Network (FinCEN) and the Federal Reserve have withdrawn a 2020 proposal to lower the reporting threshold for cross-border cryptocurrency transfers from $3,000 to $250. This withdrawal, effective November 9, maintains the current $3,000 threshold for both traditional and crypto transactions under the Travel Rule. The agencies cited significant changes in the digital asset sector and the regulatory landscape since the proposal’s introduction, as well as the need for more public input. Nearly 3,000 public comments were submitted, with most expressing concerns about financial privacy, compliance costs, and increased data collection. Crypto industry groups welcomed the decision, seeing it as relief from additional surveillance and regulatory pressure. The agencies stated that any future rule changes will consider recent industry developments and further consultation.
