The Banque de France and the AMF call for urgent action

As bitcoin approaches the symbolic $100,000 mark, investor enthusiasm for cryptocurrencies is reaching a peak. However, traditional financial institutions are trying to curb this euphoria. In a recent column, François Villeroy de Galhau and Marie-Anne Barbat-Layani, respectively presidents of the Banque de France and the AMF, call for reinforced surveillance of cryptos at the European level, entrusted to Esma to better protect the investors.

The AMF pushes for increased European regulation

In a context where crypto transactions explodethe AMF wishes centralize regulation at European level. Moreover, she is aware that crypto divides investors. Currently, each Member State retains control over the supervision of cryptos, but for the AMF, this approach proves insufficient in the face of risks related to altcoins and other cryptoassets.

The French authority thus advocates a “ direct supervision of Esma » to guarantee uniform application of regulations across the continent. The president of the Banque de France François Villeroy de Galhau supports this idea, believing that Esma must become the “ supervisor of supervisors ».

According to him, centralized regulation:

• Would better protect investors;
• Would fight against money laundering;
• Would reduce hidden transactions;
• Would monitor global players;
• Would ensure better legal certainty.

For the AMF, leaving this supervision to local authorities exposes investors to disparate regulations. “ Cryptoasset markets are cross-border and, in essence, international », he recalls.

Esma, based in Pariscould thus become a European equivalent of the American SECbut several EU countries are still reluctant.

Crypto regulation in question within the EU

Although the idea of ​​centralizing supervision is gaining ground, some European states remain attached to their own regulations and prefer to keep control. The AMF, however, considers that the absence of common supervision presents significant risks for investors, some of whom could be trapped in questionable transactions.

This risk is all the more present with the speed of distribution of crypto products via the Internetwhere local regulators struggle to control the exposure of their fellow citizens.

For the moment, the European Union has introduced the MiCA (Markets in Crypto-Assets) regulation in order to establish a general framework for cryptoassets, and to boost the growth of stablecoins. But the AMF and the Banque de France emphasize that this legislation alone is not enough.

According to them, “ experience proves that the simple establishment of European regulation does not guarantee its strict and homogeneous application “. In other words, without a single body to supervise its application, this text could turn into an empty shell.

By adopting a posture of protecting investors, the AMF is trying to strengthen the regulatory framework around cryptos. Since July 1, it has offered digital asset providers advice on how to avoid big problems. It remains to be seen whether this desire for centralization will find a favorable response among the EU states.

Micaiah A.

The blockchain and crypto revolution is underway! And the day when the impacts will be felt on the most vulnerable economy in this world, against all hope, I will say that I had something to do with it