Bybit, faces regulatory issues in France due to operating without proper registration, despite having a global user base of 20m.
Regulatory oversight issues have recently drawn attention to Bybit, a cryptocurrency exchange, in France. Despite operating for five years, the company has achieved the milestone of 20m users globally.
The Autorité des Marchés Financiers (AMF), the regulatory body for the French financial sector, alerted retail investors to Bybit’s unlawful status in the region.
Two years ago, the exchange faced continuous difficulties in complying with French regulatory requirements, leading to a blacklist action. Because Bybit has not yet satisfied this condition, the AMF has issued a warning that highlights the legal requirement that digital asset service providers (DASPs) must register before performing business within France.
Noting that it had previously made the decision to withdraw from the French market in October 2023, Bybit responded by reiterating its desire to comply with the laws of the French government.
The exchange also noted that it is now having conversations with the AMF in order to obtain the appropriate licensing, thereby highlighting its dedication to complying with regulatory requirements.
The absence of a formal registration, on the other hand, renders its operations unlawful in accordance with French legislation. The AMF has threatened to take legal action in order to prevent it from accessing the French market. With tight regulations, the Asian Monetary Fund (AMF) is primarily concerned with preserving public order and protecting investors.
Notable among these are the prevention of money laundering and the financing of terrorist organizations, the evaluation of the competence and integrity of corporate executives, and the implementation of measures to protect retail investors.
Bybit is in violation of these criteria because it has not registered as a DASP, which raises the possibility of legal ramifications and a loss of market trust. As a reflection of the unstable nature of unregistered digital asset services, the AMF strongly recommends that investors use Bybit in order to mitigate the risk of any unexpected service disruptions.
The regulatory body advises investors to review its whitelist of registered DASPs on its official website before investing in cryptocurrency. The AMF’s proactive approach underscores its commitment to safeguarding investors in the volatile cryptocurrency industry.
Bybit Enhances Security, Adds Google Pay
Bybit continues to develop and expand in other regions, despite the regulatory constraints that it faces in France and Hong Kong, where the Securities and Futures Commission (SFC) has also issued warnings.
With the launch of Bybit P2P Shield, the company intends to address customer concerns over the safety of transactions by enhancing the level of security and trust already present in its peer-to-peer trading platform.
Furthermore, Bybit has simplified the process of acquiring digital assets by incorporating Google Pay into its platform. This is a reflection of a shift toward cryptocurrency transactions that are more user-friendly.
These new advancements demonstrate Bybit’s dedication to enhancing the customer experience and ensuring their safety, even while the company navigates the complicated regulatory landscapes that exist across a variety of worldwide regions.