France Eases Crypto Ad Rules: No License Needed for Influencers
• The Senate Committee on Economic Affairs has amended Bill No. 790, previously passed by the National Assembly, making it easier for crypto companies to use the services of commercial social media influencers for their marketing campaigns.
• The amendment eliminates the need for crypto firms to get licensed after being registered by Autorité des Marchés Financiers (AMF) before engaging with influencers to advertise their products and services.
• The bill is still under review and will be discussed in the coming days, with the primary goal being to align it with the French Consumer Code.
France Eases Strict Crypto Advertising Regulations
France’s Senate Committee on Economic Affairs has made changes to a proposal under Bill No. 790 previously passed in the National Assembly that would have made it incredibly hard for crypto companies, including exchanges, from using the services of commercial social media influencers in their marketing campaigns.
Reviewing The Strict Bill
The content of the latest version of Bill No. 790, reviewed by the Senate Committee, is “more relaxed” than the one passed by the National Assembly. Specifically, it eliminates the need for crypto firms to get licensed after being registered by France’s regulator, Autorité des Marchés Financiers (AMF) before soliciting an influencer’s help in advertising its products or services. Most importantly, since no crypto firm has been licensed yet by AMF as at now, this previous ban would have been ineffective anyway.
Crypto Companies Could Benefit
Despite several cryptocurrency exchanges like Binance and Bitstamp having been registered by AMF and confirmed implementing anti-money laundering (AML) measures when facilitating Bitcoin trading; none has so far been granted a license yet. Consequently if this new amendment is incorporated into law before implementation then crypto firms even without licenses can use social media influencers when advertising products or services without fear of punitive sanctions from authorities.
The Alignment Process
The amended bill will be discussed in days ahead but its primary purpose is to ensure that its provisions are aligned with France’s Consumer Code; thus any entity found violating these codes could be investigated by agents working within Directorate General for Competition Policy Consumer Affairs and Fraud Control (DGCCRF).
Conclusion
This amendment if effectively implemented could open up more opportunities for unlicensed cryptocurrency companies in France as regards publicity through social media influence marketing which was not possible before due to strict regulations
