The European Union will impose a bloc-wide €10,000 limit on cash payments for goods and services from 10 July 2027 under new anti-money laundering rules.
The measure, known as Regulation (EU) 2024/1624, is designed to curb illicit finance by harmonizing cash transaction limits across the EU, while allowing individual member states to adopt even stricter thresholds.
The regulation also introduces sweeping changes for crypto and other high-risk sectors.
It imposes new identity verification requirements for crypto transactions, effectively bars regulated providers from handling privacy coins, and extends AML obligations to crypto firms, football clubs, crowdfunding platforms, investment migration operators, and luxury goods dealers.
The cash limits
Commercial cash payments exceeding €10,000 will no longer be permitted anywhere in the European Union from July 2027 under the bloc’s new AML regulation. The measure creates a common EU-wide limit but allows member states to maintain stricter national rules.
Cash transactions of €3,000 or more require obliged entities, such as traders and service providers, to perform customer due diligence, including mandatory identity verification of the buyer.
The €10,000 limit does not apply to deposits or payments made at banks, payment institutions, or electronic money issuers. However, such transactions remain subject to standard suspicious activity monitoring and reporting rules where red flags exist.
The restrictions do not apply to genuine private transactions between individuals.
Crypto rules
Crypto-asset service providers (CASPs), including exchanges, custodians, and other regulated crypto entities, must perform full customer due diligence for any occasional crypto transaction of €1,000 or more.
For occasional transactions below €1,000, they still must identify the customer but don’t need the full verification required for higher amounts or ongoing business relationships.
Anonymous crypto accounts are explicitly banned. The rules also prohibit any accounts or services that enable anonymization “or increased obfuscation of transactions, including through anonymity-enhancing coins.”
The rule does not outlaw the ownership or private use of privacy-focused crypto assets, but it effectively prevents regulated platforms from listing, custodying, or facilitating services involving them.
Expanded scope of obliged entities
The regulation widens the EU’s AML net to include sectors well outside traditional finance, designating professional football clubs, agents, and luxury goods traders as obliged entities. Top-flight clubs must apply AML checks across investors, sponsors, and transfer deals, while limited exemptions for lower-tier teams depend on national risk assessments and financial thresholds.
Dealers in high-value goods such as cars, boats, and aircraft must also report large transactions to Financial Intelligence Units, extending AML oversight into luxury markets.
Beneficial ownership transparency
Beneficial ownership transparency rules are a central pillar of the EU’s new AML regime, requiring all legal entities in the bloc to disclose and register their ultimate owners in national registries. Ownership thresholds are set at 25%, with the possibility of reduction to 15% for high-risk structures.
The rules also extend to non-EU entities involved in EU real estate transactions, public procurement, or regulated business relationships. Trusts, foundations, and similar legal vehicles are subject to equivalent requirements, with strict reporting obligations placed on trustees to ensure timely updates within 28 calendar days.
Does EU law require ID for every Bitcoin transaction under the new AML rules?
No. The EU’s AML regulation does not impose identification requirements on every Bitcoin transaction. Instead, it regulates crypto-asset service providers under MiCA. Peer-to-peer transfers between self-hosted wallets are not covered by these obligations.
Identification is required when establishing a business relationship with a CASP, and full customer due diligence applies to occasional transactions of €1,000 or more. Ongoing monitoring of activity is required for all established customer relationships to detect suspicious patterns.
Under the separate Travel Rule framework (Regulation (EU) 2023/1113), CASPs must transmit sender and recipient information with crypto transfers. Additional verification checks apply to transfers involving self-hosted wallets at or above €1,000, but only when a regulated intermediary is facilitating the transaction.
In practice, users must complete KYC on exchanges, but direct on-chain transfers between private wallets do not trigger identity requirements under EU law. Bitcoin remains outside the scope of direct transaction-level identification rules.
