French Watchdog: Crypto derivatives must be regulated

French watchdog Autorité des marchés financiers (AMF) has released a statement claiming that ‘cryptocurrency derivatives’ must be regulated under the EU’s financial reforms.

The statement reads: “Following an anaysis of the legal qualification of cryptocurrency derivatives, the AMF has reached the conclusion that platforms which offer these products must abide by the authorisation and business conduct rules, and that these products must not be advertised via electronic means.”

The AMF has been investigating cryptocurrency, looking at it as both a derivative and an underlying asset, after online trading platforms began offering binary options, contracts for difference and Forex contracts.

The statement concludes that cryptocurrency derivatives need to be regualted under MiFID2 and the European Market Infrastructure Regulation.