Santander, Crédit Agricole asset arm receives French crypto custody license

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Crédit Agricole and Banque CACEIS, the asset servicing arm of Santander, have obtained a cryptocurrency custody license in France. according to It was posted on the regulator’s website on June 20.

CACEIS claims to be the European leader in asset management, offering services to clients such as asset managers, insurers, brokers, pensions and real estate funds, from clearing and money management to middle office outsourcing. increase. As a cryptographic custodian, CACEIS stores users’ private keys, thereby enhancing the security of institutional customers.

As of December 2021, CACEIS had €4.6 trillion ($5.6 trillion) in assets under custody and €2.4 trillion ($2.6 trillion) in assets under management, according to the bank’s website.

France’s stock market regulator, the Financial Markets Authority (AMF), requires companies planning to offer custody services to apply for registration. Other crypto businesses, including digital asset trading platforms, are also subject to registration requirements.

The timing of CACEIS registration allowed the company to circumvent new, more stringent regulations. New rules for French digital asset providers, due to come into effect in July, will require companies to follow stricter anti-money laundering measures, including ensuring the segregation of customer funds and more detailed disclosure of risks and conflicts of interest. be done.

These new rules do not apply to the more than 60 cryptocurrency companies registered with CACEIS and the AMF. Companies registered with the AMF will comply with the European Union’s Crypto Asset Market (MiCA) law, which will come into force next year.

One cryptocurrency company registered with the AMF is Binance. Binance’s local unit has been under preliminary investigation since 2022, according to a report published in French newspaper Le Monde. According to the Paris public prosecutor’s office, the exchange has reportedly failed to comply with know-your-customer procedures and may have been involved in money-laundering activities.

France has tightened regulations on cryptocurrency businesses in recent months. One of the latest developments is a bill restricting local cryptocurrency companies from using influencer his marketing. Penalties for failing to comply with the law include imprisonment of up to two years and a fine of €300,000 ($328,000), as well as possible banning of influencers.

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