Balancing Anonymity & Compliance: Crypto’s Struggle with KYC/AML Regulations and Decentralization

The crypto sector faces the challenge of balancing anonymity and compliance with U.S. regulators demanding adherence to KYC and AML regulations. Blockchain’s future may lean towards AML/KYC compliance to attract institutional investors, while some decentralized protocols may resist due to privacy ideals. The balance between anonymity and compliance is crucial for the crypto sector’s growth and success.