The AMF offers Europe to support the "tokenization" of finance

As part of a working document on the construction of a European digital strategy for financial services, theAMF advocates supporting the tokenization, the scan on the blockchain and bring out a framework for innovation.

The Financial Markets Authority made several proposals to the European Commission as part of a working document aimed at promoting financial innovation in a protective setting.

The French regulator thus calls on the European authorities to consider a "role of facilitators", judging that a status quo in regulatory matters "would be harmful". He thus suggests tracks intended to offer more agility to the actors of finance and more conducive to innovation. And this “without sacrificing the investor protection nor the security of our financial system. "

Tokenization, a "major trend" to support

Concretely,AMF made four main proposals, in particular to "remove" obstacles to the development of tokenization financial instruments, managed on the blockchain. The stock market policeman also suggests defining a European regulation on digital assets, which today are not considered securities.

The regulator also proposes to encourage experimentation with new projects and innovative ideas. Fourth proposition:

Manage the risks identified in the relationship between cloud service providers and financial institutions in order to take full advantage of the use of artificial intelligence in the financial sector, ”

As part of this working document,AMF thus believes that the " tokenization " of the finances constitutes "a major trend", as such needing to be "rather supported" than "combated" via an adapted regulatory framework.

Furthermore, it considers that the development of primary and secondary markets for digital assets in Europe could constitute a competitive advantage and attract foreign capital.

Recognition at European level of registering a title in a blockchain as proof of ownership could also be a means of developing common European title law, "she said.