US Regulators Abandon Plan to Lower Crypto Travel Rule Threshold to $250

The U.S. Treasury's Financial Crimes Enforcement Network (FinCEN) and the Federal Reserve Board have officially filed a joint notice withdrawing a 2020 proposal to lower the threshold for international fund and cryptocurrency transfers from $3,000 to $250. The withdrawal preserves the existing $3,000 threshold under the Bank Secrecy Act's Travel Rule and recordkeeping obligations. Regulators cited the proposal's age, five years of industry evolution, and nearly 3,000 largely critical public comments warning of heavy compliance costs and privacy concerns. The action follows recent Treasury withdrawals of proposals on unhosted wallets and mixing services.