European Union lawmakers have called for tighter scrutiny of crypto assets, hidden ownership structures and digital tools as part of the European Commission’s upcoming anti-corruption strategy.
Summary
- EU lawmakers have urged the European Commission to address corruption risks involving crypto assets, hidden ownership structures and digital tools.
- The European Parliament adopted a nonbinding resolution calling for stronger measures to trace, freeze, confiscate and recover criminal proceeds.
- Lawmakers requested stricter oversight of public procurement, political financing and lobbying, alongside stronger protections for whistleblowers and journalists.
- The Commission is expected to adopt its anti-corruption strategy by the end of 2026, complementing the EU directive that entered into force in May.
Members of the European Parliament adopted a nonbinding resolution on Thursday, October 8, urging the Commission to address the use of digital assets and complex corporate structures in corruption-related activities.
The resolution called for stronger procedures to trace, freeze, confiscate and recover proceeds linked to criminal offenses. Lawmakers want the Commission to include these priorities in its strategy, which is scheduled for adoption by the end of 2026.
EU anti-corruption strategy seeks stronger asset recovery measures
According to the European Parliament’s recommendations, the resolution forms part of lawmakers’ priorities for the Commission’s anti-corruption strategy.
A central request concerns the recovery of assets obtained through corruption and other criminal activities. MEPs want authorities to have stronger mechanisms for identifying illicit proceeds, preventing their movement and recovering funds after criminal investigations.
Crypto assets, unclear ownership arrangements and digital technologies were identified as areas requiring attention. The resolution did not establish new restrictions on cryptocurrency transactions or introduce immediate compliance requirements for crypto businesses.
Lawmakers requested improvements to public procurement and grant oversight, where the use of public funds can raise concerns about conflicts of interest and improper influence.
The proposals cover common standards for declaring and managing conflicts of interest, clearer rules governing lobbying activities and more consistent requirements for political financing across EU member states.
Protection for whistleblowers and investigative journalists forms another part of Parliament’s recommendations. MEPs called for safeguards for individuals who expose suspected corruption and report on the misuse of public resources.
Crypto assets have faced scrutiny under existing EU rules
European lawmakers have previously raised concerns about the use of cryptocurrencies to bypass financial restrictions and conceal illicit activity.
In July, Parliament called for a review of how decentralized finance, staking, crypto lending and nonfungible tokens should be treated under the Markets in Crypto-Assets Regulation.
As crypto.news previously reported, the July 7 resolution asked the European Commission to examine areas of the digital asset market that were not fully addressed by MiCA.
Parliament adopted the digital asset resolution by 390 votes to 86, with 134 abstentions. Its recommendations included stronger anti-money laundering controls, effective customer identification requirements and closer monitoring of crypto payments.
Lawmakers expressed concern that crypto assets could be used to evade sanctions and rules against money laundering and terrorist financing.
They encouraged investigative authorities to use blockchain technology to identify criminal transactions and cooperate on blocking illegal transfers. The recommendations covered supervisory tools, enforcement practices and compliance standards for crypto businesses.
Separately, the European Union’s Authority for Anti-Money Laundering and Countering the Financing of Terrorism, known as AMLA, has warned about compliance risks associated with the region’s crypto licensing transition.
In July, AMLA chair Bruna Szego warned about customer migration from unlicensed exchanges to authorized providers after the end of MiCA’s transitional period.
According to Szego, firms leaving the EU market could experience heavy withdrawal activity, while licensed providers receiving new customers might struggle to maintain their existing compliance standards.
The authority planned to publish a report on money laundering risks in the crypto sector during 2026 and develop its blockchain analytics capabilities to support supervisory work.
MiCA enforcement has exposed compliance differences among crypto firms
The EU’s MiCA licensing framework entered its next enforcement stage on July 1, when the final transitional period expired for crypto asset service providers in the affected jurisdictions.
Under the regulation, companies providing covered crypto services must hold the necessary authorization to operate legally in the European market.
An August analysis found that 1,062 crypto firms lacked authorization after the deadline, with only 281 of 1,343 providers securing approval.
The analysis assigned high or severe risk ratings to 12% of unauthorized firms, compared with 2% of authorized providers.
It identified $5 billion in direct transfers from unauthorized firms to sanctioned counterparties, against $1.7 billion recorded among authorized providers.
The findings concerned regulatory status and financial crime exposure under MiCA, while Parliament’s latest anti-corruption recommendations address the treatment of criminal proceeds and ownership transparency.
In September, the European Securities and Markets Authority outlined its supervisory priorities for 2027, including operational resilience, outsourcing arrangements and the requirement for crypto businesses to maintain sufficient operations within the EU.
ESMA plans to introduce common risk indicators and reporting standards for national regulators. Its MIDAS crypto market surveillance system is expected to begin its first operational phase in 2027.
The authority’s supervisory findings are scheduled to contribute to the European Commission’s review of MiCA, expected by June 2027.
Commission plans anti-corruption strategy by the end of 2026
Parliament’s latest resolution follows the EU anti-corruption directive, which entered into force in May 2026.
The directive establishes common definitions of corruption offenses and minimum criminal penalties across member states, providing a shared legal framework for prosecuting corruption-related crimes.
The upcoming strategy is intended to complement the directive through policy recommendations addressing prevention, institutional oversight and the recovery of criminal assets.
Unlike the directive, Parliament’s October resolution is nonbinding and does not independently change existing legislation. The Commission will determine which recommendations to incorporate into its strategy.
MEPs have requested consistent standards for political financing and lobbying, along with safeguards for people investigating or reporting corruption.
The European Commission is scheduled to adopt its anti-corruption strategy before the end of 2026.
