France: AMF blocks four more crypto firms

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The Autorité des marchés financiers (AMF), the financial authority in France, warned the public against unauthorized investment offerings in the country.

According to the announcement, the financial authority stated that they had blacklisted four more cryptocurrency websites which they claim have been operating in the country without authorization. The firms failed to meet the necessary legal requirements to offer their services in the country.

 The cryptocurrency websites blacklisted by the AMF include iminage.com, live-crypto.com.net, elos-patrimoine.com, and infoconso.info. The newly blacklisted crypto firms bring the number to a total of nine.

In the announcement, AMF warns members of the public to be very careful when it comes to investing in unfamiliar newly formed companies. The authority explained that most of these companies sound good on paper and offer lucrative rewards for a short period before the founders disappearing with the investor’s money.

Blacklisted cryptocurrency websites, such as elos-patrimoine.com, were allegedly offering between 3%, and 5% returns to investors.  The company also promised to provide “risk-free” crypto investments, professional support powered by “long experience in all areas of investment.” The start-up further claimed to be a manager of European heritage for 15 years. AMF urged investors not to fall for traps by fraudulent individuals.

They also stated there had been an increase in unauthorized companies in the crypto market. AMF encouraged investors to do due diligence before going to bed with any start-up. They should research to make sure the company has been granted proper approval by the authorities.

AMF, as an independent public institution, has worked to maintain order in France’s financial market and protect investors. In September, the French Parliament passed a regulatory framework for ICOs, which had been proposed by the AMF. The framework is meant to protect investors wishing to participate in ICOs. In November, the AMF took part in a joint initiative with the Central Bank of France to warn the public about the risks associated with the speculative nature of crypto assets.

The finance authority concludes by adding that the list will be updated regularly to stop new unauthorized actors.