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The EU Parliament approves the world's first comprehensive AI regulations, aiming for safe and ethical AI development in the European Union.

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The EU’s Artificial Intelligence Act is a proposed regulation for governing AI use in Europe, focusing on safety, transparency and accountability.

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Customer due diligence requirements for crypto firms may be more stringent than for banks, policy watchers told CoinDesk.

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Crypto firms have to do checks on transactions of 1000 euro or more, and the framework adds measures to mitigate risks in transfers with self-hosted wallets.

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The European Banking Authority (EBA) will take additional steps to anticipate how strains in non-bank financial institutions (NBFIs), including cryptocurrency-related entities, will affect banks.

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But supervision of bank-like crypto firms could be a pain for regulators, said Andrea Enria, chair of the supervisory board at the European Central Bank.

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A central bank digital currency (CBDC) could also be used to deregulate banking activities and help the banking sector grow, Miguel Fernández Ordóñez said during a European Parliament hearing on a digital euro.