Question 11832 — means of payment

Summary

Mr. Daniel Labaronne draws the attention of the Minister of the Economy and Finance to the supervision and regulation of advertising on cryptocurrencies or crypto-assets, in particular the electronic currency bitcoin. Bitcoin is traded in around a hundred countries and by millions of users. Very popular in 2017, a sudden drop in value recorded at the end of the year caused a large number of investors to lose money. The French authorities share the analysis according to which increased vigilance by the regulator is necessary in order to limit potential risks for uninformed investors. It is therefore important to adopt a more robust legal framework. This observation led to the creation at the National Assembly of both an information mission on virtual currencies and another on the uses of blockchains and others. registry certification technologies. No company can guarantee a minimum return with an investment in cryptocurrencies. Then the question of advertising arises. The subject was the subject of a media episode in early 2018 when a reality TV personality promoted the merits of investing in bitcoin on a famous social network. The Financial Markets Authority (AMF) immediately reacted with warnings through another social network. But legal proceedings could only have been initiated in this case due to violation of the consumer code for disguised advertising. These advertisements are not possible on television under penalty of sanctions from the Superior Audiovisual Council (CSA) because it is prohibited to promote risky financial investments. But the CSA does not regulate the networks social media and cryptocurrencies also do not fall within the scope of the recommendation of the Advertising Professional Regulation Authority (ARPP). The social network Facebook, after having banned, like Google, advertising linked to Bitcoin and other cryptocurrencies on its platform, has just lifted the ban, specifying that advertisers must be pre-approved. Concerning electronic advertising, the AMF considers that the offering of derivatives on cryptocurrencies requires authorization and is prohibited from advertising by electronic means. Given that the concept of derivative product is not defined as such in European law, the AMF's legal analysis considers that a contract on cryptocurrencies concluded by settlement in cash can be considered as a financial contract, without it being necessary to legally qualify the cryptocurrencies. The platforms that offer these derivative products must then comply with the regulations applicable to financial instruments, in particular the rules regarding authorization, good conduct, and reporting of transactions to a central repository within the framework of the European EMIR regulation. Furthermore, these products fall under the advertising ban system established in France on certain financial contracts by law. of December 9, 2016 relating to transparency, the fight against corruption and the modernization of economic life (“Sapin II” law), which modified the legislation on the regime of intermediation in various goods. Companies offering to acquire cryptocurrencies on French territory must therefore have a registration number issued by the AMF. Although alerted by the AMF of the obligations imposed on them, the companies concerned continue to communicate and/or canvass the public in France without their offer being registered with the AMF. In order to warn French savers, the AMF has therefore set up a “black list” of players offering to invest in crypto-assets or crypto-currencies, without respecting the regulations. The AMF has also established rules of vigilance for uninformed investors. In the event of a dispute, if the platform carries out its activity legally, AMF mediation can intervene to attempt an amicable resolution. If the platform is illegal, the only recourse is to file a complaint with the police or gendarmerie with very limited chances of success. He questions him about the discussions taking place at European and French level in order to strengthen the current legal framework to limit potential risks for investors who are not aware of advertisements encouraging investments in cryptocurrencies or crypto-assets.

Machine translation from French. The official text remains authoritative.

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