Societe Generale Unit Gets Crypto License

The blockchain unit of Societe Generale announced the receipt of a license, which was issued within the framework of the new cryptography rules in France.

Societe Generale Unit Gets Crypto License

Obtaining this license means that a financial institution focused primarily on investment activities has the opportunity to accelerate the process of forming a system of sustainable interaction with the sphere of digital assets.

Societe Generale Forge was appointed virtual asset service provider, or DASP, by the French organization Autorité des Marchés Financiers (AMF) on Tuesday, July 18.

The chief executive Officer of Forge, Jean-Marc Stenger, on Wednesday, July 19, said that the license allows the financial institution to begin activities to fully meet the demand of institutional clients for digital assets. The lender will also be able to function as a custodian of assets of this category within one of the components of its banking business.

A financial institution has been given the opportunity to organize the purchase and sale of digital assets using legal tender. The list of the bank’s capabilities provided by the license does not end there. Also, the lender can exchange some digital assets for others and receive or transfer third-party orders for them. The relevant information is contained in a message that was published on the AMF website.

In France, the DASP regime is more complicated than the registration procedure for companies operating in the field of cryptocurrencies. This regime exists within the limits indicated by the legislative requirements that the participants of the country’s financial system are obliged to comply with the rules designed to combat money laundering.

The European Union this year adopted its own rules on crypto-asset markets, or MiCA. As part of the new legal concept for regulating this sector of the financial space, all companies that are suppliers of digital currencies must obtain a license from an EU member state to operate in the bloc by January 2025.

In France, the crypto sector is an industry that has support at the highest official level. President Emmanuel Macron supports efforts related to the development of the crypto industry. France does not yet correspond to the status of a major player in this market, but its share in venture capital transactions showed a sharp increase in the first quarter of 2023. This indicates that the President’s intentions are already being implemented on a practical plane and have a result.

As we have reported earlier, Temenos and Societe Generale announced collaboration.

Serhii Mikhailov

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Serhii’s track record of study and work spans six years at the Faculty of Philology and eight years in the media, during which he has developed a deep understanding of various aspects of the industry and honed his writing skills; his areas of expertise include fintech, payments, cryptocurrency, and financial services, and he is constantly keeping a close eye on the latest developments and innovations in these fields, as he believes that they will have a significant impact on the future direction of the economy as a whole.