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Binance is also seeking to be registered by the Swedish finance watchdog.
The world’s largest crypto exchange Binance has finally obtained regulatory approval from the French regulator AMF to provide its services within the nation. The license means Binance will be able to legally offer custodial and trading services for digital assets within the country.
Previously, Binance prided itself in being a global company without a headquarters. That was until regulatory whips started to hit the company from all angles. This forced the exchange to seek regulatory approval from different local authorities while continuing to operate at a global level.
As recently as April, European Central Bank officials stated that digital assets were turning Europe into the Wild West and called for tighter regulations. French Governing Council member Francois Villeroy de Galhau noted that unregulated crypto could cause a regression similar to the 2008 global financial crisis.
France to Become Launchpad to Rest of Europe
By listing Binance France SAS, France became the first European nation to do such. According to Binance CEO, Changpeng Zhao, the plan is to make France its European headquarters, citing the crypto-forward policies of the country.
Zhao made the comment while delivering his keynote address at the 2022 Paris Blockchain Week Summit in April. The CEO stated that while regulation is strict in France, the authorities have an intricate understanding of the workings of the industry.
He said, “In our interactions with them, they are far more advanced in their understanding, and they’re also much more progressive in their attitudes.”
The exchange went on to invest 100 million euros in Station F, an accelerator program for Web3 start-ups in the region. It also recruited former AMF deputy general counsel Stéphanie Cabossioras as an employee. Already, Binance France has a staff strength of 50 employees as it gears up for operations.
More Regulatory Approval to Come
Aside from France, Binance is also seeking to be registered by the Swedish finance watchdog. It will also pursue more regulatory approvals across Europe and the rest of the world.
At the time, Binance handles daily spot trading volumes of over $14 billion and nearly $50 billion in derivatives volume according to CoinGecko.