France has warned it may block some cryptocurrency companies licensed in other EU countries from operating domestically.

The AMF said it is concerned that some firms are seeking licences in countries with less stringent standards under the bloc’s new MiCA rules.

The regulation, which took effect this year, allows firms to obtain a licence in one EU country and operate across all 27 member states, a process known as “passporting.”

France, along with Italy and Austria, has called for the European Securities and Markets Authority (ESMA) to oversee major cryptocurrency firms, citing inconsistent application of rules by national regulators.

The AMF said France could refuse to recognise some EU licences if necessary.

Recent scrutiny has been directed at Malta’s licensing process, with ESMA finding oversight gaps in at least one case.

🔗 Source: Reuters