French Authorities Push EU to Make Crypto Exchanges Screen DeFi Protocols for Users
French authorities want platforms to vet DeFi protocols and face liability for certain incidents, citing gaps in the European Union’s crypto rules.
- On Wednesday, French financial authorities proposed that crypto platforms should face liability for certain decentralized finance incidents if they fail to vet protocols or ignore known security risks, responding to the European Commission's Markets in Crypto-Assets Regulation review.
- The proposed framework requires crypto-asset service providers to conduct due diligence before offering DeFi access, monitor protocols for vulnerabilities, and obtain certification for smart contracts; obligations scale based on provider size.
- Authorities backed an independent certification scheme for protocols and smart contracts, though platforms could continue offering uncertified options by conducting their own due diligence and providing customers enhanced risk disclosures.
- Beyond DeFi, France urged the European Commission to transfer supervision of significant crypto-asset service providers from national regulators to the European Securities and Markets Authority, proposing to lower the 15 million active user threshold.
- These recommendations remain part of the ongoing consultation process and would require legislative changes to take effect. The European Commission is expected to submit its MiCA review report to lawmakers by June 30, 2027.
11 Articles
11 Articles
French Authorities Push EU to Make Crypto Exchanges Screen DeFi Protocols for Users
In a joint response to the European Commission's MiCA review, France's Treasury, AMF, Banque de France and ACPR said platforms should be liable for certain client incidents when they open DeFi access without adequate checks.
France proposes holding crypto platforms liable for DeFi security failures
France has proposed making regulated cryptocurrency platforms responsible for certain losses suffered by customers accessing decentralized finance protocols through their services, as part of proposed changes to the European Union’s Markets in Crypto-Assets Regulation. In a joint response to the…
French Authorities Push to Hold Crypto Platforms Liable for Ignored DeFi Vulnerabilities
TL;DR France has proposed holding crypto platforms liable for certain customer losses when they facilitate access to DeFi protocols. The proposal includes security audits, vulnerability monitoring, and certification requirements for protocols and smart contracts. France also wants to expand ESMA’s authority over major crypto platforms and revise MiCA’s regulatory criteria. France has proposed amending the ...
France wants to change the regulation of cryptocurrency in Europe. In a joint proposal published this Wednesday, four French authorities are calling for enhanced supervision of crypto-platforms, stricter supervision of stablecoins and new rules for DeFi and staking. Here is what could change with the revision of the MiCA regulation. Read more MiCA 2: What France wants to change in European crypto regulation appeared first on Cryptoast.
France Wants CASPs Liable for DeFi Losses Under MiCA Review
France's financial authorities have proposed making regulated cryptocurrency platforms liable for certain losses arising from decentralized finance (DeFi) protocols they provide access to, potentially extending investor protections beyond the European Union's existing Markets in Crypto-Assets Regulation (MiCA).The proposals, published on October 21, were submitted jointly by the French Treasury, Financial Markets Authority (AMF), Banque de Franc…
Coverage Details
Bias Distribution
- 100% of the sources are Center
Factuality
To view factuality data please Upgrade to Premium
