A welcoming embrace from French regulators has led crypto exchange OKX to opt for making France a central base for its operations.
OKX seeks French regulatory approvalWith an eye towards expansion into Europe cryptocurrency exchange OKX has taken a significant step forward by requesting approval from French regulators to establish their European base of operations in Paris, joining other overseas crypto firms.
To become accredited as a digital asset service provider (DASP) OKX has initiated the regulation process with the French regulatory authority - Autorité des Marchés Financiers - requiring compliance with various demands such as anti money laundering standards and major shareholder transparency in addition to fulfilling specific criteria pertinent to running trading platforms or safeguarding crypto assets.
Plans to scale French workforceAccording to a report on Bloomberg, OKX, thus far domiciled in the Seychelles, will be adding around ten employees in France within six months while aiming at scaling its workforce up to approximately 100 individuals over three years, as stated by an official representative.
Hong Fang, president of OKX, recognises France's significance in establishing operations for collaborating effectively with European regulators, while France’s Digital Minister Jean-Noel Barrot also welcomed the move.
President Emmanuel Macron's positive outlook on the sector has helped France emerge as a thriving hub for cryptocurrency startups. The UK is also seeking to gain market share of the crypto industry by also welcoming crypto companies, although exacting regulatory standards are somewhat blunting this aim, as was seen recently with the BoE’s plans to reject a banking licence for Revolut.
However, both France, the UK, and Europe in general stand to gain significantly from crypto companies turning up on their shores in droves if the Biden administration continues to go ahead with its extremely negative stance towards crypto.
The newly passed MiCA regulation obliges crypto companies that intend to operate within the European Union to register with one of its member states beginning January 2025.
Disclaimer: This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.
