- Societe Generale’s crypto division, SG Forge, has received the first license for crypto services in France from the financial regulator
- The license will allow SG Forge to provide buying, selling, exchange, and custody of digital assets
- Compliance with organizational, financial, and business conduct requirements has set licensed firms apart from registered crypto companies in France
Societe Generale’s cryptocurrency division, SG Forge, has achieved a significant milestone by becoming the first company to receive a license from France’s financial regulator, Autorité des Marchés Financiers (AMF), enabling the provision of crypto services in the country. The license, granted on July 18, permits SG Forge to offer buying and selling, exchange, and custody services for digital assets, as stated on the AMF’s website. While numerous crypto firms, including industry giant Binance, are registered with the AMF, SG Forge holds the distinction of being the first to obtain a license.
Relaxed Laws Benefit Crypto Firms
France has been dealing with the issue of crypto taxation and licensing for around five years, ever since it was proposed in 2018 that crypto miners and traders pay a different rate of tax, a move that ended up being vetoed. In December 2020 it was reported that France was preparing to bring in tough new crypto regulations involving tougher identity measures on exchanges and planned to subject crypto-crypto transactions to Know Your Customer (KYC) checks.
However, in January the French National Assembly approved new regulations that made it easier for cryptocurrency companies to obtain licenses. The amendment has allowed crypto firms to register with the financial regulator using existing requirements outlined in the European Union’s comprehensive regulations for crypto assets.
Societe Generale Welcomes New Dawn
The AMF’s registration process is mandatory for companies seeking to provide crypto custody, exchange, or trading services in France. However, licensing, such as that awarded to SG Forge, necessitates compliance with specific organizational, financial, and business conduct requirements, indicating a higher level of adherence to regulatory standards.
SG Forge CEO, Jean-Marc Stenger, expressed his delight at the license approval, highlighting the division’s pioneering role in the crypto assets ecosystem. The license marks an important step forward for SG Forge, especially concerning its Ethereum-based CoinVertible stablecoin (EURCV).
With this regulatory approval, SG Forge is poised to offer a broader range of crypto services within the French market, showcasing its commitment to compliance and bolstering the credibility of its crypto operations within the financial industry.
