The French government is pushing for a single organization to oversee crypto regulation across the EU

• The French government has proposed that the European Securities and Markets Authority, or ESMA, be in charge of overseeing digital currency activity across the European Union
• ESMA’s direct supervision of public offers of crypto-assets in the EU (white paper scrutiny) and crypto-asset service providers, according to the AMF’s proposal, would provide clear economies of scale for all national supervisors and efficiently concentrate knowledge for the benefit of all Europeans
• France proposed the proposal on Tuesday as part of a package of reforms aimed at bolstering financial regulation across Europe by giving ESMA, the EU’s securities markets regulator, greater powers

According to a Financial Times article, French authorities have proposed that European Union states delegate oversight of cryptocurrencies to the European Securities and Markets Authority (ESMA). The French government has suggested that the European Securities and Markets Authority, or ESMA, oversee digital currency activity throughout the EU. 

If passed, it would create a single authority over the crypto industry across the EU and impose consistent rules through ESMA, as recommended by the French securities regulator, the Autorite des Marches Financiers, or AMF. The AMF’s proposal mentioned that, similarly, providing ESMA direct supervision of public offers of crypto-assets in the EU (scrutiny of white papers) and crypto-asset service providers would provide clear economies of scale for all national supervisors and efficiently concentrate knowledge for the benefit of all Europeans.

Proposals for an EU-wide regulatory framework for digital currencies were presented last year. ESMA is a financial regulatory organization located in Paris that aims to promote investor protection in the EU, improve the functioning of financial markets, and stimulate cross-national collaboration. 

If the AMF’s proposal is approved, it will aim to build on ESMA’s expertise with digital currency regulation and give legal clarity for digital currency firms operating across the EU. Regulating digital currencies has become a hot topic among governments all over the world. The US Treasury Secretary, along with the Office of the Comptroller of the Currency and the Federal Deposit Insurance Corporation, convened the President’s Working Group on Financial Markets on Monday to examine stablecoin regulation.

The amendment was suggested by France on Tuesday as part of a package of changes aimed at strengthening financial regulation throughout Europe by providing the EU’s securities markets regulator, ESMA, more powers. The Autorité des Marchés Financiers (AMF), France’s markets regulator, stated, Granting ESMA the power of direct supervision of public offers of crypto assets in the EU and of crypto-asset service providers would create obvious economies of scale for all national supervisors and concentrate expertise in an efficient way, for the common European benefit.

Andrew Smith

Andrew is a blockchain developer who developed his interest in cryptocurrencies while pursuing his post-graduation major in blockchain development. He is a keen observer of details and shares his passion for writing, along with coding. His backend knowledge about blockchain helps him give a unique perspective to his writing skills, and a reliable craft at explaining the concepts such as blockchain programming, languages ​​and token minting. He also frequently shares technical details and performance indicators of ICOs and IDOs.