Circle Seeks to Register in France, Ramping Up European Play
The stablecoin issuer wants to expand European operations and prepare for new reserve requirements under the EU’s MiCA law.
Stablecoin issuer Circle has filed applications to register as a crypto provider in France, and to gain a license as an e-money provider, the company said Tuesday.
Circle said it is seeking to make France a hub for expanded European operations and is preparing for new European Union rules that require stablecoin issuers to manage stability risks.
“We are excited to kick our European growth strategy into high gear with this application,” Jeremy Allaire, Circle’s chief executive officer, said in an emailed statement, referring to France’s “comprehensive efforts towards innovation-forward crypto regulation.”
Registration requires companies to undergo checks on governance and money-laundering protocols, enabling them to serve the French market.
Circle also said it wants its euro-backed stablecoin EUROC to conform with the EU’s Markets in Crypto-Assets (MiCA) regulation. It requires issuers of any cryptocurrencies tied to fiat to hold reserves and imposes caps on the trading of those matched to foreign currencies like the U.S. dollar.
Axa Investment Managers, Binance and Societe Generale are already registered under France’s regulatory regime, which is set to get tougher as of January 2024.
MiCA is set for a final debate in the European Parliament on April 18, and will include an extra transitional provision for companies already registered within an EU member country.
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