France Seeks a Global Regulation of DeFi Industry

The Financial Markets Authority (AMF) has released a statement arguing that a regulation framework is needed to manage decentralized exchanges (DEXs) both nationally and internationally.

To this end, the agency also presented a discussion paper to discuss the control of DeFi protocols and promote the development of international standards to evaluate projects and lessen the risk of fraud and data theft.

However, the AMF has also urged for market regulation to ensure the blockchain industry’s development is not hindered.

In May, the AMF’s Benoît de Juvigny called on the European Union to pay attention to the DeFi market and suggested a classification of protocol users as well as requiring each decentralized platform to obtain a license to operate in the eurozone.

Reinforcing this call, the AMF press service stated that they are committed to expanding their stakeholder engagement – both public and private – to build a long-term regulatory framework that will support the development of decentralized finance.