France Draws a Hard Line on Crypto Compliance as MiCA Deadline Nears

France’s financial regulator is sending an unmistakable message to the crypto industry: comply with Europe’s new rulebook or prepare to shut down. With the Markets in Crypto-Assets Regulation (MiCA) transition period set to expire at the end of June, French authorities have identified 90 crypto companies operating in the country without the required authorization, raising fresh concerns about enforcement, fragmentation, and regulatory arbitrage across the European Union.

According to reporting cited by Reuters, the Autorité des Marchés Financiers (AMF) has warned that a significant share of these firms may soon be forced out of the French market. Roughly 40% of the flagged companies have explicitly indicated that they do not intend to apply for a MiCA license, while around 30% have failed to respond at all to the regulator’s inquiries. Only the remaining third have confirmed that their licensing applications are currently in progress.

Stephane Pontoizeau, executive director at the AMF overseeing market intermediaries and infrastructures, said the regulator first contacted the companies in November to remind them that France’s national transition period under MiCA ends on June 30. Firms that have not secured authorization by then will be required to cease operations starting in July, effectively cutting them off from one of Europe’s most significant financial markets.

MiCA, which came fully into force in late 2024, is designed to create a harmonized regulatory framework for crypto assets across the EU. The rules impose licensing, capital, governance, and consumer protection requirements on crypto service providers, with the goal of reducing systemic risk while offering legal clarity for legitimate operators. In practice, however, the rollout has exposed tensions between national regulators, EU institutions, and the industry itself.

France has positioned itself as one of the stricter enforcers of the framework. While the AMF has granted MiCA licenses to a limited number of firms, including crypto investment company CoinShares in July 2025 and Swiss Bitcoin-focused app Relai in October, officials have made clear that registration alone is no longer sufficient. Authorization under MiCA is now the price of admission.

The situation in France mirrors broader concerns at the European level. In December, the Paris-based European Securities and Markets Authority (ESMA) warned that crypto firms operating without MiCA approval should have “orderly wind-down” plans ready once transitional periods expire. That same month, the European Commission proposed granting ESMA centralized supervisory powers over crypto companies across the EU, a move intended to strengthen enforcement consistency.

The proposal has proven controversial. Critics argue that centralized oversight could slow licensing decisions and discourage innovation, particularly among smaller startups. Supporters, including French authorities, counter that without stronger central supervision, firms may engage in regulatory shopping, seeking MiCA licenses in jurisdictions perceived as more lenient and then passporting their services across the bloc.

France has emerged as a vocal critic of that passporting model, warning that uneven enforcement risks undermining MiCA’s credibility. As the June deadline approaches, the fate of the 90 unlicensed firms will serve as an early test of whether Europe’s landmark crypto regulation can deliver not just legal clarity, but real regulatory discipline.