Coin Center argued that if these rules were implemented, government surveillance of cryptocurrency users’ financial transactions could increase significantly. The organization had repeatedly called on the US Treasury Department and FinCEN to withdraw the proposals over the years.
With the US Treasury Department’s decision on October 5, both proposals were officially withdrawn. Coin Center considered this a significant gain in terms of financial privacy, but stated that American users should not be restricted by unnecessary surveillance mechanisms when it comes to using cryptocurrencies directly through their personal wallets.
*This is not investment advice.