Proposed Crypto Wallet Rule Among Those Frozen ... -

Many feared the rule would stifle American leadership in the digital asset sector by burdening developers with legacy banking compliance. Modern Context (2025–2026)

By 2026, the regulatory landscape shifted from total "freezes" to targeted implementation and legislative reform. Proposed Crypto Wallet Rule Among Those Frozen ...

The FinCEN wallet rule was one of the most prominent items caught in this freeze. The proposal would have required: Many feared the rule would stifle American leadership

Exchanges to verify the identity of owners for transactions over $3,000 to unhosted wallets. Proposed Crypto Wallet Rule Among Those Frozen ...

Critics noted it was technically impossible for some decentralized finance (DeFi) protocols or smart contracts to collect the required name and address data.

Advocates argued the rule was a "significant intrusion" into personal privacy and financial autonomy.