The French National Assembly has approved a set of licensing rules for crypto companies operating in the country, with a final vote of 109 in favor and 71 against.

After being passed by the French Senate, the bill will go to French President Emmanuel Macron. Macron has 15 days to approve it or send it back to the legislature, but it is expected to become law.

Under the new rules, French companies providing cryptocurrency services will need to comply with stricter registration rules than the Financial Markets Authority (AMF) currently requires. The new rules will apply to companies registered after July 2023. Companies already registered with the AMF will be able to continue operating until the end of the transition period provided by MiCA, which may be in 2026.

It is reported that France's move is intended to supplement the EU's crypto asset market legislation, which is expected to pass the final vote of the European Parliament in April. The new registration proposal will subject crypto service providers to higher regulatory standards, such as corporate governance, fund segregation rules, and guidelines for reporting to regulators. Companies are also required to clearly disclose risks and implement conflict of interest policies. (The Block)