French lawmakers have proposed to ban the promotion of certain financial products and services by electronic means, including crypto assets, to protect consumers from potential risks.
The amendment The proposal refers to bill number 790 aimed at combating scams and excesses of influencers on social networks. The amendment also proposes to prohibit the advertising of medical devices, games of chance and video games through similar mechanisms.
The proposal examined by the Committee on Economic Affairs is aimed at commercial influencers who promote financial products and services that present a risk to consumers, such as investments in digital assets or fungible and non-fungible intangible goods.
If it becomes law, only operators who have the approval of the Autorité des Marchés Financiers’ (AMF) will be able to promote crypto assets. The AMF is a regulatory body in charge of “the rules applicable to financial markets and market infrastructures, approves corporate financing operations of listed companies and authorizes financial services professionals and collective investment products under its supervision” .
The proposed amendment seeks to establish “a ban on advertising targeted at financial products and services that present a specific risk to the consumer, to address abuses observed on social media,” according to a translated version of the proposal. The new wording of the amendment will allow exceptions to the prohibitions, which will be decided by the regulatory body.
The proposal establishes that violating these prohibitions could carry a sentence of two years in prison and a fine of 30,000 euros (USD 32,600). The ban is intended to protect consumers from the potential risks associated with certain financial products and services, while allowing some flexibility in certain exceptions to the prohibitions.
The proposal to ban cryptocurrency promotions to French influencers coincides with Paris Blockchain Week, a gathering of professionals within the crypto, Web3 and blockchain industry. Cointelegraph is present at the event providing updates and conducting interviews with attendees, panelists and organizers.
Get ready for a week full of exciting events at Paris Blockchain Week 2023, including a hackathon, startup competition, and more. follow @Cointelegraph for live coverage and behind-the-scenes footage. https://t.co/OyFSbuTE93
— Cointelegraph (@Cointelegraph) March 20, 2023
In a Exclusive interview with the founder and president of Paris Blockchain Week, Michael Amar shared the belief that the entry of large Web2 companies into the Web3 space could be positive for the ecosystem, as they bring with them resources capable of increasing mass adoption.
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