Société Générale-owned crypto business has reached a significant milestone in France. The French financial market regulator, the Autorité des Marchés Financiers (AMF), granted France’s first digital asset provider license to the investment firm SG Forge, which runs a digital assets platform. SG Forge is the first entity in France to receive a digital asset provider license.
This regulatory certification is the highest level of authorization that is available to cryptocurrency businesses in France. The AMF regulates cryptocurrencies using a two-tiered system: first, businesses need to register with the regulator in order to provide their services; second, businesses have the option of undergoing a more rigorous process in order to obtain a full license.
Despite the fact that more than eighty businesses have registered with the AMF, not a single one had been granted a full license prior to Tuesday, when it was awarded to SG Forge. This success represents a significant step forward for crypto businesses across the country.
According to the website of the AMF, SG Forge has been granted permission to operate as a digital asset service provider (DASP) in four key areas, including trading and custody of digital assets.
Jean-Marc Stenger, the CEO of SG Forge, expressed pride in the company’s pioneering position within the ecosystem of crypto assets following the approval of the DASP license. In a statement that was made public on Wednesday, he highlighted the fact that this significant achievement enables them to offer top-tier compliance and banking security to their institutional customers who are looking for services related to digital assets.
MiCA and French Crypto Regulations
The French regulatory system has been the subject of much debate over the course of the past year, as legislators have been working toward the goal of harmonizing local regulations with EU-wide standards in advance of the implementation of EU rules.
In March, politicians came to an agreement that allows businesses that are already registered with the AMF to continue operating with only minimal approvals, whereas new entrants to the market are required to obtain a full license in order to do so.
When the Markets in Crypto Assets (MiCA) regulation of the European Union goes into effect the following year, comparable requirements will be enforced.
French Regulator Considers Fast-Track MiCA For Registered Firms
The Alternative Markets and Financial Services Authority (AMF) announced in April that it was considering a “fast-track” option for registered entities to become MiCA-compliant. This announcement came during the transition from national regulations to European-wide regulations.
The statement that SG Forge released on Wednesday emphasized that by obtaining a full license, the company is preparing for the imminent implementation of MiCA regulations.