By George Ward
Financial watchdogs in France are still going after illicit players in the crypto and forex markets by blocklisting such entities.
On December 21st, the ACPR (Prudential Supervision and Resolution Authority) and AMF (the Autorité des Marchés Financiers) added more websites to their blocklist for unlawful crypto and forex investments.
France AMF And ACPR Blacklists More Websites
The regulators blocklisted 15 new websites, of which only two are crypto-related. Per the report, both regulators have flagged fewer crypto-related platforms in 2022 compared to 2021. Last year, the watchdogs blocked 24 crypto websites.
In addition, the regulator blocked 61 forex-related investment websites in 2021 and 49 in 2022. The ACPR and AMF advised investors to exercise caution and confirm that promoters selling financial goods or services are licensed to do business in France.
Also, the authorities advised investors to always check the official register of licensed investment service companies and the list of licensed brokers in the crowdfunding or financial investment advisory categories before making any investments.
Meanwhile, the significant drop in crypto-related websites blocklisted in 2022 could be due to the ongoing crypto market crisis.
Since last year, the crypto market has shrunk by over 70% since reaching its highest bullish run in November 2021. As a result, several investors have lost most of their assets.
Furthermore, the ongoing bearish crypto market has put uncertainty, doubt, fear, and panic in investors. The market downturn became more pronounced when the total crypto market cap fell below $2 trillion in January.
French Lawmaker Submits Proposal To Enforce Licenses For Crypto Firms
According to previous reports, the French authorities are known for their friendly disposition towards the crypto sector. They have given licenses to several crypto firms.
In May, the AMF allowed Binance to offer crypto-based services in France. Meanwhile, a report by the Financial Times recently states that a member of France’s Senate Finance Commission, Hervé Maurey, has acknowledged receiving a new amendment.
The amendment aims to remove a clause that allows crypto firms to function in France without proper licenses till 2026. For perspective, the current law will allow crypto firms to keep operating even when the MiCA bill becomes law in 2024.
However, Maurey’s proposal could end this option enjoyed by most crypto firms. Instead, they will have to get an AMF license beginning from October of next year.