Autorité Des Marchés Financiers Announces Enhanced Framework For Digital Assets Services Providers

On August 10, 2023, French securities regulator Autorité des marchés financiers (AMF) published a press release announcing amendments to Book VII of its General Regulation as it relates to digital assets service providers (DASPs) to be consistent with the enhanced registration requirements introduced by the DDADUE Law. These amendments to the AMF General Regulation are also intended to align the requirements for DASP licensing with cryptoasset service provider authorization under the European Union's Markets in Crypto-Assets Regulation (MiCA).

Under the new regime, all DASPs seeking licensing will be evaluated on the following dimensions currently used to evaluate DASPs seeking “enhanced” registration: security and internal control management, conflicts of interest management, information accuracy, public pricing policies, custody provisions (i.e., segregation of client and own assets), information technology systems, and prohibitions on using client assets