France expands AML inspections ahead of EU crypto regime

As part of its preparation for the new EU rules, France is broadening anti–money laundering inspections of crypto service providers to decide which ones will be cleared for licenses valid across the ￰0￱ familiar with the situation said France’s Prudential Supervision and Resolution Authority (ACPR) has been conducting checks on numerous exchanges since the end of last year. However, they declined to be named due to the sensitivity of the ￰1￱ also said Binance and Coinhouse are part of the group of PSANs currently being examined by the ￰2￱ regulator had reportedly also instructed Binance last year to reinforce its risk ￰3￱ who fail to meet the French requirements on time could be subject to enforcement measures or denied future MiCA ￰4￱ offering crypto services in France face a June 2026 deadline The French reviews are unfolding against a backdrop of growing friction over how EU nations should coordinate crypto enforcement, ten months into the new regulatory ￰5￱ month, France, Austria, and Italy urged the EU’s markets watchdog to assume direct control over major crypto companies and tighten existing rules, citing inconsistencies in national ￰6￱ are conducting these checks to ensure that crypto firms comply with the conditions of their PSAN status, particularly their systems for preventing money laundering and terrorist ￰7￱ inspections, companies are generally granted several months by the ACPR to correct ￰8￱ regulator shares its findings with the French Financial Markets Authority, the AMF, and noncompliance could result in penalties or threaten a firm’s eligibility for a MiCA license, which enables EU-wide ￰9￱ crypto service providers have until June 2026 to obtain the new ￰10￱ date, the AMF has issued it to only a few players, such as Deblock, GOin, Bitstack, and CACEIS, which Crédit Agricole ￰11￱ have warned Binance to improve its compliance systems French authorities had launched an investigation into Binance over suspected money laundering and tax violations related to its activities from 2019 to ￰12￱ after being one of the first international exchanges approved as a digital asset service provider in France in 2022, Binance has continued to receive warnings to enhance its transparency and compliance ￰13￱ year, the ACPR instructed Binance to enhance its compliance and risk management, according to one source, who added that the regulator frequently encourages firms to develop these departments or secure their IT ￰14￱ Paris-based European arm of Binance has reiterated its full cooperation with regulators and its dedication to aligning with the EU’s evolving regulatory ￰15￱ European Union plans to implement its digital asset rules by late ￰16￱ to the AMF’s revised rules, all registered crypto-asset service providers will need to meet stricter operational, security, and reporting requirements by December 30, ￰17￱ full MiCA authorization by July 1, 2026, firms may no longer be permitted to operate within the European ￰18￱ recently as September, France had stated that it might seek to prevent some crypto firms licensed in other EU countries from operating domestically, as part of a push to transfer supervision to the bloc’s central securities ￰19￱ the EU’s new regulatory regime, crypto companies are flocking to jurisdictions with lower licensing requirements, said Marie-Anne Barbat-Layani, President of France’s financial market authority, AMF.

MiCA, a wide-ranging slate of digital asset rules that came into force this year, grants crypto firms the ability to apply for licences from individual EU countries, which they can then use as a “passport” to operate across all 27 nations in the ￰20￱ measure has already exposed discrepancies in the way national regulators implement the rules, raising doubts about whether some licenses are being issued too quickly and whether such cross-border companies are facing adequate ￰21￱ your free seat in an exclusive crypto trading community - limited to 1,000 members.