In an advanced report, the French regulators approved a virtual assets service provider (VASP) license for the New York-based crypto exchange Gemini. The approval of Gemini’s VASP legally allows the crypto exchange to offer various crypto products and services.
Addressing CNBC, the Gemini team confessed that Autorite des marches financiers (AMF) legally allowed the crypto exchange to operate as a regulated entity in France. The approval of Gemini’s VASP license demonstrated the commitment of the crypto exchange to meet the regulatory requirements.
Gemini Expands to France
Based on the AMF requirements, the Gemini team plans to fully comply with the existing regulations before rolling out its diverse crypto products. According to the report, the Gemini team anticipates completing the final preparations for VASP in the coming weeks.
After the proposed preparation, the crypto exchange will ensure that the Gemini platform is accessible to French users. This implies that the expansion of Gemini to France aims to improve the accessibility of crypto products and services to French retail and institutional clients.
An announcement conveyed by the head of EU at Gemini, Gillian Lynch, revealed that the approval of the VASP license aligns with the company’s goal to expand to the European states.
The executive was pleased to state that the expansion of Gemini to France will allow the investors to trade with over 70 digital assets. Compared to other exchanges, the Gemini team will allow French users to trade through the official website and mobile application.
Lynch acknowledged that the French users will be among the first clients to explore Gemini’s Active Trader platform, which offers a professional trading experience. Beyond this, the executive admitted that the expansion of Gemini to France aligns well with the institutional clients’ needs.
Suitability of the French Crypto Market
Gemini projects that its world-class offering, including the eOTC and over-the-counter trading service, will meet the ever-evolving needs of institutional investors. The executive mentioned that with the ongoing development in the crypto sector, Gemini has been pursuing viable opportunities in offshore markets.
Citing a 2023 EU visit report, Lynch admitted that, unlike the US, the EU showcased its commitment to support the development of the crypto industry. The official applauded the contributions made by the European regulators to formulate policies that support crypto assets.
Overview of MiCA Rules
Even though there are potential regulatory gaps in the European crypto market, Lynch tasked the regulator to provide regulatory clarity for digital assets ahead of the market for crypto asset (MiCA) regulations. Lynch believes enacting MiCA rules will mark a significant milestone in the crypto industry.
She anticipates that from December, when MiCA will take effect, the new rules will set clear legal guidelines for the crypto firms.
A review of the MiCA rule demonstrated that a licensed crypto firm in the EU will be granted a passport to operate in any European country. Following the approval of the MiCA rules, high-profile fintech and crypto firms have demonstrated their interest in expanding to Europe.
The suitability of the European crypto market has compelled crypto exchanges such as Gemini and Coinbase to relocate their headquarters to Europe.
The expansion to Europe after the US Securities and Exchange Commission (SEC) intensified its enforcement action against crypto exchanges. Late last year, the SEC charged Gemini for offering unregistered securities on its Earn platform.
