NEWS: The European Union passed legislation in April 2023, known as the MiCA Act, requiring cryptocurrency exchanges to report their users' transactions. This regulation is based on the DAC8 Directive, which also obliges financial service providers to report their clients' transactions.
The MiCA regulations establish that cryptocurrency exchanges must inform the tax authorities of the following transactions:
🔸Transactions of more than 1,000 euros.
🔸Transactions between exchanges.
🔸Transactions between exchanges and financial service providers.
🔸Transactions between exchanges and other cryptocurrency service providers.
The regulations also establish that exchanges must identify their users and maintain records of their transactions.
The MiCA regulations aim to combat tax evasion and money laundering. Regulators argue that this regulation will help ensure that cryptocurrencies are used legitimately.
However, the regulation has received criticism from some cryptocurrency users, who argue that it violates their privacy. They have also expressed concern that the regulations could make it difficult to use cryptocurrencies for legitimate purposes.
The MiCA regulations will come into force in 2024.
What do you think of this regulation from the European Union and the Mica law, I'll wait for you in the comments😉
#Binance $BTC
