France Regulatory Body Warns Investors About Bybit Blacklisted Status

The financial regulatory body of France, Autorité des Marchés Financiers (AMF), has released a statement, reminding and warning local investors of the unauthorized status of the Bybit crypto exchange. It was revealed that Bybit still operates in the region despite being blacklisted by the authorities two years ago.

Bybit is Unauthorized in France

In an announcement dated May 16, the regulatory watchdog in France, the AMF, has reiterated that the UAE-based cryptocurrency exchange Bybit is unauthorized to operate in the country after failing to secure necessary licensing. Recall that in May 2022, the AMF blacklisted the exchange giant for not complying with current French regulations. Consequently, Bybit is not fit to provide digital asset trading services in the region.

The French Monetary and Financial Code makes it clear that before any organization provides services in the country such as digital asset custody services on behalf of third parties, buying or selling digital assets for fiat currency, and operating a digital asset trading platform, they must first register as a digital asset service provider (DASP). Bybit has failed to fulfill this requirement, hence its status as ‘unauthorized.’ However, in October 2023, Bybit responded to this by stating its decision to exit the French market. Furthermore, it highlighted its ongoing discussion with the French authorities to secure the necessary license to operate in the area.

In the announcement, the AMF cites the importance of proper registrations. According to the regulators, the registration facilitates public order through the prevention of illicit activities such as money laundering and terrorism financing.

“Unregistered platforms providing these services in France are illegal under French law. BYBIT is not registered as a DASP”…”The AMF reserves the right, under the terms of the Monetary and Financial Code, to take legal action to block the website of this platform, which is providing its services illegally in France,” the statement reads.

Ultimately, the financial regulators urged all investors and users of the Bybit exchange in the country to take proactive measures to avoid the inability to access their funds, stressing the importance of being ready for an eventual cessation of Bybit services in the country. To access the list of fully registered platforms operating in the country, the AMF advises residents to visit its website.

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