France’s Autorité des Marchés Financiers (AMF) has warned French crypto investors that Bybit is not a registered platform in the country, according to a May 16 notice.
The financial supervisor declared:
“The Autorité des Marchés Financiers (AMF) calls on private investors to exercise the utmost vigilance regarding investment proposals made to the public living in France by the digital trading platform BYBIT. BYBIT is not authorized to offer its digital asset services in France.”
According to CoinMarketCap factsBybit is the third largest crypto exchange by trading volume. The platform was launched in 2017 and holds more than $10 billion in assets from its users.
Blacklisted since 2022
The regulator pointed out that Bybit had failed to comply with local regulations, which required the exchange to register as a digital asset service provider (DASP) under the Monetary and Financial Code.
In addition, Bybit has been blacklisted by the AMF since May 20, 2022, for not meeting these legal standards.
Consequently, the AMF said it could take legal action against Bybit over its lack of registration. Such action could include blocking access to the exchange’s website and other measures.
In light of the regulators’ crackdown, investors are urged to consider alternative measures to protect their assets as the platform may face a sudden shutdown of operations in France. AMF added:
“The AMF urges French private investors who have invested on this platform to take all necessary measures to avoid being denied access to their assets (digital assets or digital asset derivatives). All investors must make arrangements in the event that the platform suddenly stops providing services to the public living in France.”
Bybit has not yet responded Crypto Slates request for comment as of press time.
Meanwhile, this regulatory action coincides with France’s broader efforts to establish comprehensive regulations for crypto companies within its jurisdiction. According to market observers, these efforts reflect a commitment to protect investors from potential risks associated with the emerging industry.