France is stepping up its oversight of major cryptocurrency exchanges, including Binance, as part of a broader push to assert greater regulatory influence within the European Union. The French banking authority, ACPR, has launched additional Anti-Money Laundering (AML) checks, signalling a tougher national stance at a time when the EU prepares to enforce the Markets in Crypto-Assets Regulation (MiCA).

Heightened AML Inspections on Major Exchanges

The French Prudential Supervision and Resolution Authority (ACPR) is reportedly examining the AML and Counter-Terrorist Financing (CFT) compliance of Binance and numerous other platforms. According to sources cited by Bloomberg, these checks began last year and remain confidential.

Binance was instructed to strengthen its risk management systems following earlier reviews. A spokesperson for the company confirmed that ongoing engagement with the ACPR is part of standard oversight for AML-registered entities, emphasising that such reviews are routine and apply to multiple exchanges, not Binance alone.

Typically, companies flagged in these inspections are given several months to improve controls, often resulting in additional hires in compliance and IT departments to bolster cybersecurity and risk frameworks.

France Signals Tougher Stance on Crypto Operations

This regulatory scrutiny reflects France’s evolving position on digital assets. In September, the French financial regulator AMF warned it may challenge the validity of licences obtained by crypto firms in other EU states operating in France. The AMF expressed concerns that unequal regulatory standards could undermine the EU’s goal of harmonised supervision under MiCA’s passporting regime.

AMF Chair Marie-Anne Barbat-Layani acknowledged that such an action would mark a serious breach of trust within European markets, yet maintained it remains an option under consideration.

Push for Centralised EU Oversight

French authorities have gone further by advocating for centralised regulation at the EU level. The Bank of France has urged Brussels to grant the European Securities and Markets Authority (ESMA), headquartered in Paris, ultimate authority over cryptocurrency regulation.

François Villeroy de Galhau, Governor of the Bank of France, warned that reliance on individual national regulators could lead to inconsistent enforcement. He argued that unified oversight is essential, particularly as the crypto sector grows rapidly across Europe.

Power Dynamics Ahead of MiCA Implementation

France’s renewed assertiveness comes just months before MiCA is slated to take full effect across the European Union. While the regulation aims to create a uniform market, France appears determined to ensure that enforcement power is not diluted among member states.

By exerting pressure through audits and public warnings, Paris is positioning itself as a leading force in shaping the future of European crypto oversight. For companies like Binance, this means navigating not only EU-level rules but also stricter national scrutiny from key member states.