French Legislators Ease Rules in Crypto Influencer Bill

French legislators have agreed to relax restrictions on a bill initially proposed in March that would have severely restricted the use of influencer marketing by cryptocurrency companies registered in France.

Previously, only licensed crypto companies were permitted to engage in influencer marketing.

Even though crypto companies are currently required to register with the regulator, none are approved in France, nor are they required to be licensed by law.

The French Senate announced on May 25 that it had reached unanimity on a bill that aims to regulate promotions by influencers for various industries.

According to French lawmakers Arthur Delaporte and Stéphane Vojetta, the revised statement now only requires crypto firms registered with the Financial Markets Authority (AMF), the nation’s financial regulator, to use influencers for their marketing efforts.

The bill’s precise language has not yet been published. There are currently approximately sixty crypto firms registered with the AMF, but none have obtained the optional licensing.

According to the translated version of Delaporte and Vojetta’s statement, “only financial products and cryptocurrencies from AMF-registered players may be promoted,” and agents from the financial watchdog and the regulator for consumer affairs will “have their control capacities strengthened.”

Failure to comply with the laws is punishable by up to two years in prison, a fine of 300,000 euros ($322,000), and the potential prohibition of influencer activity.

The promotion of other products by influencers, including nicotine-containing products such as e-cigarettes, has also been restricted.

A ban on displaying sports betting and gambling products to individuals under 18 would also be implemented.

In early May, the Senate Committee on Economic Affairs approved an amendment allowing AMF-registered cryptocurrency firms to engage in influencer marketing.