Media: France to Tighten Crypto Regulation

The French Ministry of Finance plans to strengthen KYC procedures for users of Bitcoin and other cryptocurrencies, and to regulate platforms that do not support fiat currencies, according to The Block.

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Simon Polro, president of the national crypto association ADAN, said authorities would publish a decree on December 9 or 10. This tightening of requirements was confirmed by Coinhouse Group CEO Nicolas Louvet and CTO Pierre-Guy Barèj.

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Currently, companies must verify the identity of users conducting crypto-to-fiat transactions above €1,000. The new requirement removes this cap.

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The document also introduces mandatory registration of crypto exchanges, including those that do not support fiat currencies. Company executives must obtain licenses by December 18 under the threat of fines and imprisonment.

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The tightening of regulation comes amid recent terrorist attacks in France. In September, police arrested 29 people on suspicion of financing Syrian Islamist groups with cryptocurrency.

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“The Ministry of Finance later stated that we need to better control cryptocurrencies,” said Barèj.

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Representatives of the crypto industry warned of users moving to foreign trading venues. Many company owners expressed concerns that they would not manage to secure licenses by the deadline.

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As noted in October, France’s Minister of Economy and Finance Bruno Le Maire linked digital assets to money laundering, the trafficking of drugs and weapons. He believes the regulation of the sector should be tightened.

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