Regulation
French regulator warns investors about Bybit’s blacklisted status
The French financial regulator, the Autorité des Marchés Financiers (AMF), has issued a statement reminding and warning local investors of the unauthorized status of the Bybit cryptocurrency exchange. It has been revealed that Bybit still operates in the region despite being blacklisted by authorities two years ago.
Bybit is not authorized in France
In a announcement On May 16, the regulatory watchdog in France, the AMF, reiterated that UAE-based cryptocurrency exchange Bybit was not allowed to operate in the country after failing to obtain licenses required. Remember that in May 2022, the AMF blacklisted the foreign exchange giant for non-compliance with current French regulations. Therefore, Bybit is not suitable to provide digital asset trading services in the region.
The French Monetary and Financial Code makes it clear that before an organization provides services in the country such as digital asset custody services on behalf of third parties, the purchase or sale of digital assets for fiat currency and operating a digital asset trading platform, it must first register as a digital asset service provider (DASP). Bybit has failed to meet this requirement, hence its “unauthorized” status. However, in its response, Bybit referred to its decision to exit the French market in October 2023. Additionally, it highlighted its ongoing discussions with French authorities to obtain the necessary license to operate in the region.
In the announcement, the AMF underlines the importance of proper registration. According to regulators, registration facilitates public order through the prevention of illicit activities such as money laundering and terrorist financing.
“Unregistered platforms providing these services in France are illegal under French law. BYBIT is not registered as a DASP”… “The AMF reserves the right, under the terms of the Monetary and Financial Code, to initiate legal proceedings to block the website of this platform which illegally provides its services in France,” the statement said. bed.
Ultimately, financial regulators urged all investors and users of the Bybit exchange in the country to take proactive measures to avoid the inability to access their funds, emphasizing the importance of being prepared for a possible cessation of Bybit services in the country. To access the list of fully registered platforms operating in the country, the AMF advises residents to visit its website.