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France starts issuing crypto service provider licenses

Thursday 8 August 2024 13:25 CET | News

The French markets regulator, Autorité des Marchés Financiers (AMF), has began accepting applications for Crypto Asset Services Provider (CASP) licenses.

 

France is the first major European Union economy to implement this step as the bloc's Markets in Crypto Assets (MiCA) regulations are set to become more comprehensive by the end of the year.

On its website, the AMF outlined ten key aspects of the legislation that will come into effect on December 30, including provisions related to the custody and administration of crypto-assets on behalf of clients, as well as the operation of crypto-asset trading platforms.

The AMF has previously registered 74 companies under its own regulatory framework as of May last year. In contrast, regulators in other significant EU economies, such as Germany, Italy, and Spain, have not yet made official announcements regarding the licensing process. Starting in July 2026, companies intending to offer services within the European Union will be required to hold a CASP license in accordance with MiCA regulations.

 

Getting Circle approved

In December 2023 Circle announced its conditional registration as a Digital Asset Service Provider (DASP) with the French Financial Markets Authority (AMF). Before starting operations in France, Circle was required to meet conditions linked to this registration, including approval as a Payment Services Provider (PSP) or registration as an agent of a PSP. To fulfill this requirement, the company has applied for an Electronic Money Institution license.

The company chose France as its European regulatory base, citing the country’s established framework for fintech and digital asset innovation. Circle intends to bring its European operations under full EU oversight by securing both a full DASP license and an Electronic Money Institution license in accordance with the standards set by the Autorité de Contrôle Prudentiel et de Résolution (ACPR). This move is in preparation for the Markets in Crypto-Assets (MiCA) regulatory framework.


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Keywords: cryptocurrency, MiCA, regulation, digital assets
Categories: DeFi & Crypto & Web3
Companies:
Countries: France
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DeFi & Crypto & Web3






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