CACEIS, the asset services division of well-known banking giants Crédit Agricole and Santander, has obtained registration from French regulators to offer crypto depository services. The Financial Markets Authority (AMF) confirmed the registration of CACEIS Bank, making it part of a select group of traditional financial companies operating under Europe’s sophisticated crypto regulatory framework. As the European Union prepares for new crypto licensing rules in 2024, CACEIS joins Investment Managers Societe Generale and AXA in positioning itself at the forefront of the evolving crypto landscape.
CACEIS Bank, the asset services arm of Crédit Agricole and Santander, has reached an important milestone in the crypto industry. It has been registered by the French Financial Markets Authority (AMF) to offer crypto depository services, as disclosed on the regulator’s website.
This development establishes CACEIS as one of the leading traditional financial companies embracing the crypto revolution. The company, which provides services to asset managers including insurance, pension funds, and private equity firms, is reportedly pursuing crypto regulatory status since 2021.
Registration with AMF is mandatory for entities offering crypto custody, exchange or trading services in France. Notably, this move was made as Binance, the world’s largest cryptocurrency exchange, is facing investigation by French authorities for allegedly providing services without proper approval until 2022.
CACEIS’ inclusion in the list of approved custodians highlights France’s progressive attitude towards crypto regulation. This achievement aligns with the upcoming adoption of a new crypto licensing rule, known as MiCA, by the European Union in 2024. By positioning itself within this advanced regulatory framework, CACEIS is demonstrating its commitment to embracing the evolving crypto landscape while adhering to compliance standards.
With colossal assets worth 4.6 trillion euros ($5.1 trillion) in custody, CACEIS has further strengthened its position as a trusted custodian in the financial industry. This entry into the crypto storage sector signifies the company’s recognition of the growing demand for secure storage solutions for digital assets.
CACEIS joins a growing list of traditional financial institutions that are venturing into the crypto space. Just this week, Deutsche Bank announced it was pursuing a crypto depository license in Germany, while BlackRock, the world’s largest asset manager, recently applied for a license to operate a bitcoin-linked exchange-traded fund (ETF).
As the crypto market matures, regulatory agencies such as the European Central Bank are urging banks to maintain high levels of precautionary capital for risk assets. However, a survey conducted by the ECB in February stated that crypto activity and exposure was deemed “insignificant.”
CACEIS’ successful registration with the French regulator for crypto storage services demonstrates its commitment to innovation and embracing the ever-evolving crypto landscape. By securing a place among approved custodians, CACEIS joins the ranks of traditional financial players realizing the huge potential of cryptocurrencies. As the European Union prepares its new crypto licensing rules, CACEIS’ early adoption of regulatory compliance positions it as a key player in providing secure and compliant custodial solutions. With more financial institutions venturing into the crypto space, the industry is maturing and gaining recognition within the traditional financial landscape.