Overview
- FinCEN and the Federal Reserve filed a joint withdrawal on Friday that becomes effective with Federal Register publication on Nov. 9, 2026 and keeps the existing $3,000 cross‑border reporting threshold in place.
- The Travel Rule requires covered firms to collect and pass sender and recipient identifying details for qualifying international transfers, and the withdrawn proposal would have expanded that duty to transfers of $250 or more.
- The agencies said the delay since the 2020 proposal and shifts in law and markets justify fresh notice and comment, noting the rulemaking originally drew nearly 3,000 public comments with many opposing the lower threshold.
- Crypto exchanges, custodians, and privacy advocates welcomed the move because it avoids sudden new data‑collection work and the added compliance costs that smaller firms would have faced under a $250 line.
- The withdrawal does not change existing U.S. anti‑money‑laundering duties, leaves open future proposals, and comes amid divergent global rules such as the EU’s no‑minimum transfer data rule and recent FinCEN rollbacks on wallets and mixers.