With six months remaining before the European MiCA Regulation’s provisions on crypto-asset services take effect, the Autorité des Marchés Financiers (AMF) has begun accepting applications for authorization to operate as a crypto-asset service provider. This authorization will be required from 1 July 2024.

MiCA Regulation Requires Authorization

The European MiCA Regulation will come into force on 30 December 2024, requiring all market participants who wish to offer crypto-asset services within the European Union to obtain prior authorization.

The regulation covers ten specific services: managing and safeguarding crypto-assets for clients; running a crypto-asset trading platform; converting crypto-assets to funds; swapping crypto-assets for other crypto-assets; executing orders for crypto-assets for clients; facilitating the placement of crypto-assets; handling and transmitting crypto-asset orders for clients; advising on crypto-assets; managing crypto-asset portfolios; and transferring crypto-assets for clients.

Providers will need to adhere to several common rules under MiCA, including anti-money laundering Money Laundering Money laundering is a blanket term to describe the process by which criminals disguise the original ownership and proceeds of criminal conduct by making such proceeds appear to be derived from a legitimate source.Money laundering is an issue that traverses countless industries and sectors, which includes the financial services space. Though criminal money may be successfully laundered without the assistance of the financial sector, billions of dollars’ worth of criminally derived money are laund Money laundering is a blanket term to describe the process by which criminals disguise the original ownership and proceeds of criminal conduct by making such proceeds appear to be derived from a legitimate source.Money laundering is an issue that traverses countless industries and sectors, which includes the financial services space. Though criminal money may be successfully laundered without the assistance of the financial sector, billions of dollars’ worth of criminally derived money are laund Read this Term measures, cyber security requirements, and standards of conduct. Specific obligations will vary depending on the type of services provided.

France begins accepting crypto service license applications

France's financial regulator, the Autorité des Marchés Financiers (AMF), is now accepting applications for crypto asset service provider (CASP) licenses, making it the first major EU economy to implement the upcoming…

— CoinNess Global (@CoinnessGL) August 2, 2024

Transition Period for MiCA

MiCA will replace France’s existing PACTE regime for new market participants from 30 December 2024. Providers already operating under a “simple” or “enhanced” registration or optional DASP authorization under the PACTE Law will have until 30 June 2026 to obtain MiCA authorization.

This transition period allows them to continue their activities until 1 July 2026. However, providers with “simple” or “enhanced” registrations, or optional authorizations, will not benefit from the European passport during this transition. They will need to ensure their services comply with regulations in other Member States during this period.

The MiCA authorization requirements are more stringent than the French regulations for “enhanced” and “simple” DASP registrations.

The AMF advises interested parties to begin preparations early to comply with the new European framework. For detailed information on the MiCA Regulation Regulation Like any other industry with a high net worth, the financial services industry is tightly regulated to help curb illicit behavior and manipulation. Each asset class has its own set of protocols put in place to combat their respective forms of abuse.In the foreign exchange space, regulation is assumed by authorities in multiple jurisdictions, though ultimately lacking a binding international order. Who are the Industry’s Leading Regulators?Regulators such as the UK’s Financial Conduct Authority ( Like any other industry with a high net worth, the financial services industry is tightly regulated to help curb illicit behavior and manipulation. Each asset class has its own set of protocols put in place to combat their respective forms of abuse.In the foreign exchange space, regulation is assumed by authorities in multiple jurisdictions, though ultimately lacking a binding international order. Who are the Industry’s Leading Regulators?Regulators such as the UK’s Financial Conduct Authority ( Read this Term and guidance on application procedures, the AMF has published a new In-depth report on its website.