French Regulator Awards First Crypto License to Coinhouse

Coinhouse, a crypto trading firm, stands with the unique title of being the first company of its kind to be registered by France’s Financial Markets Authority, or AMF. The AMF, in turn, is the top financial regulator within France.

Recognized As A Serious Player In Regulation

What this registration means for Coinhouse itself, is it’s now capable of attempting to get approval to operate as a banking service provider within France. This, in turn, would allow the firm to offer cheaper services than the German bank it’s currently working with to provide services within the country.

Julien Moretto, the spokesman for Coinhouse, gave a statement to the public when it came to this development. According to Moretto, the registration process with the AMF signified that the regulator recognized Coinhouse as a serious actor in the crypto space, one that’s capable of strict Know-Your-Customer (KYC) policies.

Proving Itself As Capable

In order to receive the registration, to begin with, Coinhouse was mandated to show that the firm had the ability to freeze assets within its system. Furthermore, they were expected to show how they made funds available to customers should there be a case of proven fraud within their network. Moreover, the crypto firm had hired a compliance controller that went about searching for any suspicious financial activities. Furthermore, Coinhouse had to demonstrate that it could leverage blockchain analysis tools, such as Scorechain.

As it stands now, the firm is in the process of integrating investment disclaimers, risk warnings, as well as other legal documents. All the while, the firm is in the process of raising equity in a bid to gain approval for a French crypto license. Through the talks that Coinhouse has done with the AMF already, the company expects the french regulator to start the issuing of crypto licenses somewhere around September of 2020, according to Moretto.

Marching Into The Future

Sandrine Lebeau, the Director of Compliance and Risk within Coinhouse, gave a further comment about the matter as a whole. They explained that the process of registration would become mandatory if a company wishes to do custody activities or buy/sell services for cryptocurrencies within France. However, the license itself will be an essential part of the brand image, according to Lebeau. The Director explained that, through this registration, Coinhouse would be capable of doing ads and commercials about crypto services, something that’s entirely in its infancy across the globe.