France Expands AML Checks on Crypto Exchanges Ahead of MiCA
Since late 2024, France’s Prudential Supervision and Resolution Authority (ACPR) has expanded on-site AML checks on over 100 crypto exchanges, including Binance and Coinbase. Conducted with the AMF, these AML checks assess compliance with EU’s upcoming MiCA license requirements, focusing on money laundering and terrorist financing risks. Early findings revealed gaps in internal controls. Regulators have issued guidance to upgrade IT systems and hire more compliance staff. Firms failing to meet standards risk enforcement actions or denial of MiCA authorization.
To date, only Deblock, GOin and CACEIS have secured full MiCA license approval. Ongoing probes into Binance’s 2019–2024 operations for money laundering and tax offences underscore the scrutiny. Traders should monitor developments: prolonged or expanded AML checks could delay MiCA approvals, impacting exchange liquidity and cross-border services. Analysts expect this regulatory push to raise industry standards, ensure a safer digital asset market and boost investor confidence.
Neutral
In the short term, expanded AML checks and ongoing probes may increase compliance costs and uncertainty for exchanges like Binance, potentially reducing liquidity and delaying MiCA license approvals. However, in the long term, stricter AML standards and full MiCA compliance are likely to strengthen market integrity, raise industry standards and boost investor confidence. The balanced mix of immediate operational risks and future market benefits supports a neutral impact assessment.