French Lawmakers have recently proposed a ban on the electronic promotion of some financial products and services which includes crypto assets too. It is aimed at protecting the consumer from potential threats and risks. The proposed amendment has Bill no. 790 and is believed to combat the scams by influencers on the social network. The amendment also proposes a ban on advertising health products, gambling, and video games using electronic means.
As reviewed by Economic Affairs Committee the proposal targets commercial influencers who promote false financial products and services and create a risk for consumers. If this proposal turns into a law, only the operators having approval from Autorité des Marchés Financiers (AMF) will be permitted to advertise crypto assets.
The AMF is the regulatory body that is responsible for implementing the rules that are applicable to financial markets and market infrastructure. It also approves the corporate finance transactions of the listed companies and authorized financial services professionals under its supervision.
The proposal also states that violation of any of the prohibitions would result in a 2-year of prison sentence and a fine of 30,000 Euros. This proposal of French ministers to ban crypto influencer promotion coincides with Paris Blockchain Week. It is a popular gathering of professionals in the Crypto, Web 3.0, and Blockchain industries. Besides, protecting the consumers from potential risks associated with certain financial products and services, it will also allow certain other flexibility in exception to the talked prohibition.
