Assita Kanko tackles cryptocurrency criminality in a draft report

At the end of last year, N-VA MEP Assita Kanko was appointed rapporteur and chief negotiator for a European approach to cryptocurrency criminality. She has now submitted her draft report, which should lead to new legislation and thus to better supervision of financial transactions in cryptocurrency assets such as Bitcoin and Ethereum. “This is an important step because criminals and terrorists also use the current anonymity of cryptocurrencies,” says Assita Kanko.

Cryptocurrency trading has boomed in recent years, with billions invested in Bitcoins, Ethereum and so on. Criminals and terrorists also eagerly use the possibilities and anonymity of cryptocurrencies. It is no coincidence that a ransomware attack often involves a demand for payment in cryptocurrencies. And al-Qaeda or Hezbollah on social media request funds to be in cryptocurrencies (“Fund the Islamic Struggle without leaving a trace”).

Small amounts so as not to stand out

In her draft report, Assita Kanko proposes, among other things, to use the so-called “travel rule” for digital money transactions as well: a rule that proposes that certain information about the payer and recipient is sent along with the transaction. For normal transactions, the travel rule starts at EUR 1,000, but Assita Kanko wants it to apply to all digital payments. “Criminals use small amounts precisely so that they do not stand out.”

The report will now go to the European Parliament for further discussion. Assita hopes that the final text will be completed before the summer recess.