In an effort to boost innovation within its digital currency space, the French Senate's Committee is deliberating an amendment to the provision that proposes a blanket ban on the use of celebrities for promotional activities in the virtual asset service providers (VASPs) sector. The revision seeks to enable companies registered with the French Financial Markets Authority (AMF) to use influencers for advertising. The 2022 proposal includes an exemption that blocks non-licensed firms from availing themselves of this privilege.
The French legislature has two frameworks regulating digital assets. One concerns initial coin offerings (ICO) while the other relates to the licensing of VASPs, with the country also getting ready to meet the European Union's Markets in Crypto Assets (MiCA) standard. The suggested amendment permits registered AMF firms to use public influencers in their promotion of services while offering the Consumer Code more extensive provisions.
Before the legislation can become law, it must undergo scrutiny from the national assembly and pass through the various legislative hurdles. If it gets the nod, relevant firms will be free to employ influencers for advertising, as stipulated by theFinancial Markets Authority. Moreover, the AMF has mentioned that it would expedite the registration of digital asset service providers in the country for the next 18 months.
In contrast, the U.K. already has guidelines for influencers to adhere to when publicly engaging with digital currencies. In collaboration with Love Island cast member, Sharon Gaffka the Financial Conduct Authority (FCA) laid out a seven-point checklist that warns celebrities of the potential two-year jail term for unlawfully promoting fraudulent crypto schemes. Moreover, the Advertising Standards Authority (ASA) is enforcing strict rules regarding advertising within the ecosystem.
Overall, France is in the process of introducing changes that would open up its digital currency space to influencers, and the U.K. has embraced a vigilant stance on the matter by providing clear guidelines. With France's transition into the European Union's MiCA specifications, the economic outlook of the country's digital asset sector is optimistic.
Parker Kelly
- 2023-05-06
French Senate's Committee Reviews Amendment for Use of Influencers in Digital Currency
The French Senate's Committee is considering an amendment to enable French Financial Markets Authority (AMF) firms to employ the use of public influencers for the promotion of services within the digital currency space. This article also goes into detail about the strict rules that exist in the United Kingdom.
