For years, it has been rumoured that the traditional financial behemoth is pursuing the designation.
French regulators have registered CACEIS, the asset servicing subsidiary of banking titans Crédit Agricole and Santander, to provide crypto custody services.
According to the website of France’s Financial Markets Authority (AMF), CACEIS Bank, which provides services to asset managers such as insurers, pension funds, and private equity, was registered on Tuesday, June 20.
It joins other traditional financial institutions such as Societe Generale’s Forge and AXA Investment Managers in being recognised under one of the most advanced crypto regulatory frameworks in Europe, as the European Union prepares to implement new crypto licencing rules known as MiCA in 2024.
Since 2021, it has been rumoured that CACEIS, which holds 4.6 trillion euros ($5.1 trillion) in assets, is pursuing crypto regulatory status.
Registration with the AMF is required for those providing custody, exchange, or trading services for cryptocurrencies in France. The largest cryptocurrency exchange in the world, Binance, is currently under investigation by French authorities for allegedly providing illicit services before 2022.
This is the latest move by a traditional financial institution to indicate an interest in entering the cryptocurrency market. This week, Deutsche Bank disclosed that it was seeking a crypto custody licence in Germany, and last week, the world’s largest asset manager BlackRock filed to operate a bitcoin (BTC)-linked exchange-traded fund.
The European Central Bank has demanded that banks maintain high levels of precautionary capital for holdings it considers hazardous, despite a February report by the regulator stating that crypto activities and exposures were “insignificant.”
Disclaimer: These are the writer’s opinions and should not be considered investment advice. Readers should do their own research.
