Recently, France’s Autorité des Marchés Financiers (AMF) issued a warning to French crypto investors regarding Bybit, stating that the platform is not registered in the country. The financial regulator urged retail investors to exercise caution when considering investment proposals from Bybit, emphasizing that the platform is not authorized to provide its services in France.
Bybit, the third-largest crypto exchange by trading volume according to CoinMarketCap data, has been operating since 2017 and holds over $10 billion worth of its users’ assets. However, the AMF highlighted Bybit’s failure to comply with local regulations, specifically the requirement for the exchange to register as a digital asset service provider (DASP) under the Monetary and Financial Code. As a result, Bybit has been on the AMF’s blacklist since May 20, 2022, prompting potential legal action against the platform for its lack of registration.
In response to the regulatory crackdown, the AMF advised French investors who have assets on the Bybit platform to take necessary precautions to ensure access to their digital assets or derivatives in case the platform ceases operations in France suddenly. The regulator emphasized the importance of preparing for such a scenario and exploring alternative measures to safeguard investments.
As of now, Bybit has not provided a response to the AMF’s warning and regulatory actions. The platform’s silence on the matter leaves investors with uncertainties about the future of their assets and operations on Bybit. Despite the lack of communication from Bybit, French investors are encouraged to stay informed and proactive in protecting their investments.
This recent warning from the AMF is part of France’s broader efforts to establish comprehensive regulations for crypto businesses operating within the country. By enhancing regulatory oversight and enforcing compliance standards, France aims to protect investors from potential risks associated with the rapidly evolving crypto industry. The proactive stance taken by the AMF reflects a commitment to creating a secure and transparent environment for crypto investors in France.
The AMF’s warning about Bybit serves as a reminder for investors to be diligent and informed when engaging with crypto platforms. By staying aware of regulatory developments and taking proactive steps to safeguard their assets, investors can mitigate risks and navigate the dynamic landscape of the crypto market with greater confidence.
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