EU Commission proposing Central Database of Virtual Currency Users

[pawel7777]

Some exciting news from the beloved European Commission:

http://ec.europa.eu/justice/criminal/document/files/aml-directive_en.pdf

In  respect  of  designing  providers  of  exchange  services  between  virtual  currencies  and  fiat currencies as obliged entities, the proposed amendments respect the proportionality principle.
In  order  to  allow  competent  authorities  to  monitor  suspicious  transactions  with  virtual currencies,  while  preserving  the innovative  advances  offered  by  such  currencies,  it  is appropriate to define as obliged entities under the 4AMLD [4th Anti-Money Laundering Directive] all gatekeepers that control access to  virtual  currencies,  in  particular  exchange  platforms  and  wallet  providers.  The  proposed measure takes into account, on the one hand, the fragmentation of financial information, and, on  the  other,  the  lack  of  direct,  swift  access  to  this information  by  FIU's  and  AML/CFT competent  authorities.  Furthermore,  information  that  will  be  available  must  be  accurate  (i.e.
the  information  should  be  precise  enough  in  order  to  avoid  targeting  the  wrong  person)  and limited  to  what  is  necessary (proportionality)  to  enable  FIUs  and  AML/CFT  competent authorities   to   match   all   the   bank   and   payment accounts   with   their   corresponding accountholders, proxy holders, and beneficial owners.
...

More details in this article:
http://bitlegal.io/2016/07/24/eu-commission-to-propose-central-database-of-virtual-currency-users/

[pereira4]

If I was in Europe then I would never log in into exchanges anymore unless I was using a VPN or something (since I think TOR can't be used in exchanges, but if it can then use it too). I would never leave traces because you never know what crazy laws they are going to get in the future. So I would start using privacy solutions like the ones I mentioned for all trading. Of course if you want to deal with fiat there is no way around it, they will ask for id and they will know you are, but crypto to crypto transactions you can still remain anonymous.

[Amph]

If I was in Europe then I would never log in into exchanges anymore unless I was using a VPN or something (since I think TOR can't be used in exchanges, but if it can then use it too). I would never leave traces because you never know what crazy laws they are going to get in the future. So I would start using privacy solutions like the ones I mentioned for all trading. Of course if you want to deal with fiat there is no way around it, they will ask for id and they will know you are, but crypto to crypto transactions you can still remain anonymous.

easy solution is to use bitcoin directly, no exchange needed not fiat involved, no dumping ever, you can almost buy anything using bitcoin now, no reason to use fiat anymore

[pawel7777]

If I was in Europe then I would never log in into exchanges anymore unless I was using a VPN or something (since I think TOR can't be used in exchanges, but if it can then use it too). I would never leave traces because you never know what crazy laws they are going to get in the future. So I would start using privacy solutions like the ones I mentioned for all trading. Of course if you want to deal with fiat there is no way around it, they will ask for id and they will know you are, but crypto to crypto transactions you can still remain anonymous.

easy solution is to use bitcoin directly, no exchange needed not fiat involved, no dumping ever, you can almost buy anything using bitcoin now, no reason to use fiat anymore

Yes, but the doc also refers to 'wallet providers', not only to exchanges, not sure what they mean by that and how are they going to enforce it...

[gentlemand]

The key word is 'custodial' wallet providers, those who control the private keys. That means your Coinbases, Circles and Xapos. The real Bitcoin wallets aren't affected by this proposal.

I assume that's because they know they can't do anything about pure software. Anything that drives people away from the quasi banks is a good thing.

[helloeverybody]

the  information  should  be  precise  enough  in  order  to  avoid  targeting  the  wrong  person

Targeting for what? I dont see why they could possibly need to know each individuals details that use crypto, Like amph says, just dont use any exchanges and you rall good. Saying that although i dont actually agree with it , it is one of those casess where as long as you havent done anything wrong you should be ok. right?

[Cuidler]

easy solution is to use bitcoin directly, no exchange needed not fiat involved, no dumping ever, you can almost buy anything using bitcoin now, no reason to use fiat anymore

Its ultimate goal to never convert to fiat anymore, but as long as there are centralized services, government can request cooperation. And centralized service might be just online shop like newegg or amazon where you order some product and send it home - the online shop may share your home address linked to the Bitcoin address just because the law say so and its easy to shut down centralized service if they dont cooperate.

So before world can get rid of fiat and big brother spying everywhere, decentralized services are necessary basically for *everything*.

[Jacob70]

Fucking NAZI SCUM!!! First they put you in a database then you end up  in a concentration camp 

This is how my grandparents were brutally murdered by the nazis. The EU is the 4th reich run by evil nazis!!

! עסן דרעק און שטאַרבן

[dothebeats]

easy solution is to use bitcoin directly, no exchange needed not fiat involved, no dumping ever, you can almost buy anything using bitcoin now, no reason to use fiat anymore

Not sure how would that pan out. Mind you, most people jumped into the bitcoin train because they want to multiply their fiat holdings by storing it in a highly-volatile asset which is bitcoin. If they are to restrict themselves on using exchanges to convert their holdings to their respective currencies, I think it would be a loss for them. Also, the fact that there are only a few merchants around accepting bitcoins is enough reason to not restrict yourself from using exchanges with your bitcoins.

Honestly, creating a central database to 'keep track of anti-money laundering and fraudulent acts' is somewhat scary, but can also be a good thing. The thing is, we all know how the governments are hungry for surveillance, and once they got the necessary info about you, they'll take note of everything you do, every single day. If exchanges are open about handling sensitive information about their customers, then I might just seek for ATMs or other ways to convert my bitcoins even on a slightly-off trade.

Good thing I don't live in Europe or NA. I'm free from those regulations, yey!

[CoinBreader]

well my answer to them is i have nothing to declare , just have a exchange account with 0.1 btc on it, im not fiat-ing my btc ! hello & goodbye !
this bastards wanna to put their noise everywhere!

[helloeverybody]

I wonder how this would affect non Eu users of cryptocurrency? Would they still be put on the same list or do they even have the capability to do so? Surely every exchange will not have to follow these rules if for example the exchange is in the usa. Maybe some countries will become more common as used for exchanges kind of like how we have swiss banks.

[Kprawn]

They are effectively saying the following, " We will allow you to use Crypto currencies, but you have to play by our rules and roll over when we say so " .... You can have all the benefits of this technology

as long as we know who you are and what you using your money for. We will regulate what services you are allowed to use, and if we do not like it... well, then we will close your account... in some of

these instances, without your permission or right to appeal.. oh, and b.t.w your money is ours, so we can take it, when we want. " ... Is this what we want?

[TippingPoint]

Download a desktop or mobile wallet from here:
https://bitcoin.org/en/choose-your-wallet

In my opinion, stay away from the Web wallets.  

I also recommend using TOR to limit how much your ISP knows about your activities.

[countryfree]

An European database? That would be some kind of a novelty. This is the kind of thing that's done at national level. Since there's one for bank accounts already, an extension to wallet holders cannot come as a surprise.

Except that BTC users who have their wallets on their computers will keep their privacy. They will only need to break it if they go through an exchange.