Recently, France’s financial regulator, Autorité des Marchés Financiers (AMF), issued a warning to French crypto investors regarding the trading platform Bybit. The AMF made it clear that Bybit is not authorized to provide its digital asset services in France, urging retail investors to be cautious.
Bybit, launched in 2017, is currently the third-largest crypto exchange in terms of trading volume. The platform holds over $10 billion worth of assets belonging to its users. However, despite its popularity, Bybit failed to abide by local regulations that require digital asset service providers to register under the Monetary and Financial Code.
As a result of Bybit’s non-compliance with French regulations, the AMF included the platform on its blacklist since May 20, 2022. The regulator expressed its readiness to take legal action against Bybit for its lack of registration. This could involve measures such as blocking access to the exchange’s website to protect investors.
In light of the regulatory scrutiny, investors who have assets on Bybit are advised to take precautionary measures to prevent potential loss or inability to access their digital holdings. The AMF emphasized the importance of being prepared for the sudden termination of services by Bybit in France.
Despite the regulatory developments and warnings, Bybit has yet to respond to requests for comment from media outlets. The lack of communication from the platform raises concerns about its willingness to address the regulatory concerns raised by the AMF.
France’s actions against Bybit are part of a larger initiative to establish comprehensive regulations for crypto businesses operating within the country. These efforts demonstrate the government’s commitment to safeguarding investors and mitigating risks associated with the rapidly evolving crypto industry.
The AMF’s warning to French investors about Bybit highlights the importance of regulatory compliance and investor protection in the crypto space. As authorities continue to crack down on unregistered platforms, investors must remain vigilant and take necessary steps to secure their assets. Bybit’s current status serves as a reminder of the risks involved in trading on unregulated exchanges and the potential consequences of non-compliance with regulatory requirements.
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