France’s SEC or FCA, the AMF, has identified a number of obstacles in a report that they say is a strategic priority to remove. Because of the limitations of paper, including forgery, companies are required to keep a register of shareholders for example. If this proposal goes through then it would be possible to have a regulated digitally native fundraising exercise in Europe, something currently not possible in America. Where the American regulator is concerned, the Securities and Exchanges Commission (SEC), they view an IPO on the blockchain as no different than on paper because they only see the similiarities. The AMF analysis has concluded there are also differences, such as the blockchain itself being the bank in addition to it being a record keeper and being the proof of ownership and so on.
France’s SEC or FCA, the AMF, has identified a number of obstacles in a report that they say is a strategic priority to remove.
They ask the European Commission to develop a European digital strategy for financial services and propose the EU should “allow the issuance and exchange of financial instruments on blockchain (“tokenization”) by eliminating existing legal obstacles.”
In a very first suggestion of its sort by a regulator, they identify a number of issue that have previously been raised by participants in this industry. We quote a rough translation at some length:
“Following an in-depth legal analysis, the AMF identified several legal obstacles to the development of blockchain securities:
(i) the need to identify a blockchain manager acting...
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