PANews reported on October 13th that, according to Decrypt, the European Banking Authority (EBA) has released a new report highlighting how the crypto industry is attempting to circumvent new regulations, such as MiCA (Markets in Crypto-Assets Directive) and its expanded anti-money laundering/counter-terrorist financing legislative framework. MiCA, which takes effect at the end of 2024, establishes unified regulatory rules for crypto-asset service providers across the 27-nation bloc. While the agency did not identify specific companies, it stated that some entities' circumvention of regulatory requirements could persist, jeopardizing the integrity of the EU's financial system. A major risk is regulatory arbitrage, whereby companies obtain regulatory approval in countries with lax regulatory requirements in order to operate elsewhere in the EU. For example, before MiCA's passage, an unnamed entity applied for registration and authorization in multiple countries, then withdrew from the challenged jurisdictions and operated in unchallenged countries. Although MiCA fully came into effect last year, a transition window was set until July 1, 2026, allowing entities that failed to meet authorization requirements but appealed their approval to continue operating during this period. In addition, some cryptocurrency companies may lack clear actual beneficiaries and governance structures. One VASP was found to be jointly operated by more than 20 unregulated entities outside the EU. This opaque structure may allow the front-end company to be abused and become a channel for money laundering.