Bybit is facing issues in France as the French financial authority, the Autorité des Marchés Financiers (AMF), informed regular investors that Bybit isn’t permitted to operate in the country, despite reaching a milestone of 20 million users worldwide over five years.
This follows Bybit being blacklisted two years ago, highlighting ongoing difficulties with French regulatory compliance. The AMF stresses the legal requirement for digital asset service providers (DASPs) to register before operating in France, which Bybit is yet to do.
In response, Bybit mentioned its decision to exit the French market in October 2023 and its commitment to adhere to local laws. The exchange also mentioned ongoing discussions with the AMF to obtain necessary licensing, demonstrating its dedication to regulatory compliance.
However, without formal registration, Bybit’s operations remain illegal under French law, with potential legal actions threatened by the AMF to block its access in France.
The AMF aims to maintain public order and protect investors through strict regulations. These include preventing money laundering and terrorist financing, assessing the competence and integrity of company directors, and implementing measures to safeguard retail investors.
By not registering as a DASP, Bybit breaches these standards, risking legal consequences and undermining market trust. The AMF advises investors to be prepared for any sudden service disruptions with Bybit, reflecting the risks associated with unregistered digital asset services.
The regulatory body also suggests investors refer to its whitelist of registered DASPs on its official website before engaging in cryptocurrency investments. This proactive approach by the AMF underscores its commitment to investor safety in the volatile crypto market.
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