What is the crypto travel rule?

The crypto travel rule is a requirement that information "travels" with a payment. When an exchange or other crypto service provider sends coins for a customer, it must also share details such as the customer's name and account with the provider on the receiving side. Banks have followed a version of this rule for wire transfers for decades, and regulators have extended it to crypto.

Where does the travel rule come from?

The standard comes from the Financial Action Task Force, an intergovernmental body that sets anti-money laundering rules. It sits in its Recommendation 16. In June 2019 FATF applied it to virtual asset service providers, or VASPs, such as exchanges and custodial wallet companies, according to Elliptic. Countries then write their own laws to put it into effect. The wider set of rules is described in crypto anti-money laundering rules.

In June 2025 FATF agreed further changes to Recommendation 16 for payments in general, including standard information for cross-border payments above 1,000 dollars or euros, to take effect by the end of 2030, Regulation Tomorrow reported.

What information does the travel rule require?

For the sender, Elliptic lists the name, account number or transaction reference, address, and in many cases date of birth or an official identifier. For the recipient, it lists the name and account number or reference, among other details. Below a country's threshold, providers usually still pass along names and account references.

What is the travel rule threshold in the US and EU?

In the United States the Bank Secrecy Act sets a $3,000 threshold for the rule on funds transfers, and FinCEN's 2019 guidance confirmed it applies to transfers of convertible virtual currency, Elliptic says. A proposal to cut the threshold for international transfers to $250 was first made in 2020 and has not been adopted.

In the European Union the Transfer of Funds Regulation took effect on December 30, 2024, with a zero threshold for crypto transfers between providers, so every such transfer carries the information. It works alongside the EU's broader crypto law, described in what MiCA is.

Does the travel rule apply to self-custody wallets?

The rule is aimed at providers, not individuals. A person moving coins from their own wallet is not a provider. But when an exchange sends to or receives from a self-hosted wallet, it must work out whether the other side is another provider or a private individual, and some places ask for extra checks. Elliptic notes that the UK requires added verification in higher-risk cases, and Hong Kong expects providers to verify ownership of a self-hosted wallet, for example by having the customer sign a message. The difference between wallet types is in custodial vs non-custodial wallets.

Rules differ by country and change often. Check the regulator or a qualified professional for your own situation.