EU AML Package

Definition ∞ The EU AML Package refers to a comprehensive set of legislative proposals from the European Union designed to strengthen its framework for combating money laundering and terrorist financing. This package includes regulations and directives aimed at harmonizing anti-money laundering rules across member states and expanding their scope to new sectors, including digital assets. It seeks to create a unified and more effective approach to financial crime prevention within the EU. The measures introduce stricter oversight for virtual asset service providers.
Context ∞ The current state of the EU AML Package involves its ongoing legislative process and eventual implementation across member nations. Key discussions often center on the balance between stringent regulation and fostering innovation in the digital asset space. A critical future development involves the practical application of these rules, particularly how they will impact decentralized finance and self-custodial wallets, potentially setting a global precedent for digital asset regulation.