The French financial regulator Financial Markets Authority (AMF) reportedly announced that the cryptocurrency exchange – Binance – needed to ensure anti-money laundering compliance to set up a regional hub in Paris.
Earlier this month, Changpeng Zhao – CEO of the trading venue – described the French capital as a “natural choice” for positioning headquarters.
Binance is not ready to move to France
The largest digital asset exchange – Binance – has been on a mission to find its new home lately. Established as a decentralized platform with “no headquarters and no borders,” it is now changing its structure and looking for a place to settle, as the CEO recently explained. However, the company has some issues with global regulators, which could prove to be a stumbling block in its path.
Currently, France sounds like one of the suitable options where Binance can establish global headquarters since the company has not had any problems with the local watchdogs. In addition, Changpeng Zhao recently called Paris a “natural choice” for such expansion.
According to a Reuters report, though, settling under the Eiffel Tower would not be such a straightforward move since the local watchdogs insist that Binance has to enhance its AML compliance efforts.
“This is a sign of the innovative dynamism of the Parisian market, but it obviously depends on the confidence and credibility that are guaranteed. That’s what will guide the ACPR and the AMF (financial markets authority) in their actions, especially on the key issue of anti-money laundering,” said Francois Villeroy de Galhau – the Governor of the French central bank.
A few days ago, Zhao told the local press that his company hopes to get the regulatory green light from the AMF in 6 to 12 months. He added that 600 out of 3,500 Binance’s employees are responsible for compliance and relationships with various regulators.
The partnership with France Fintech
In early November, the main cryptocurrency exchange and the nonprofit – France FinTech – joined forces to create a 100 million euros ($ 116 million) blockchain project in Europe. It comes by the name of “Objective Moon,” as its primary goal is to support the development of the digital asset industry in France and the rest of Europe.
At the time, Zhao predicted that this move could make France a prominent place in the cryptocurrency space:
“At Binance, we recognize the quality of French and European tech, crypto, and blockchain talent, and we are convinced that with the launch of Binance’s major operations and investment in France, we can significantly contribute toward making France and Europe the leading global player in blockchain and crypto industry.”
What about Ireland?
Ireland is another country that could become Binance’s new home. Earlier this year, the trading platform created three companies there: Binance (APAC) Holdings, Binance (Services) Holdings and Binance Technologies.
A few days ago, it established a fourth one, named Binance Exchange (Ie), hinting about a future settlement in the country. Asked whether Ireland falls into such plans, Zhao answered: “Yes, it does.”
