Seemingly out of the blue, France, through the Ministry of Finance, has surprised it's citizens by proposing new regulations for any operation carried out with cryptocurrency. They are preparing guidelines that will apply to all firms in the crypto ecosystem and to transactions using crypto assets.
The provisions include new KYC (Know Your Customer) measures for companies that support sending or trading cryptocurrency and would establish greater oversight of transactions between cryptoassets, according to statements by Simon Polrot, president of the Association for the Development of Digital Assets (ADAM).
The regulation will include a requirement that users show two official identity documents issued by the government.
It's not official yet, but they have already set off the alarms of companies that fear that users will abandon them and simply look for alternatives outside the country.
Since the new guidelines are considered a 'State decree' they will not require parliamentary discussion . That is, their application would take effect whenever the government decides to make it official. Both fiat, crypto, and custodial services will need to apply for new licenses before Dec 18th.
It is unclear whether foreign exchanges must also comply with the new regulations to continue offering services to French citizens.
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Author: Mark Pippen
London News Desk
Global Crypto Press // Breaking Crypto News
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