French Regulator Expands AML Checks on Binance and Coinbase Ahead of MiCA Licensing
France’s banking regulator has launched expanded anti-money laundering checks on major cryptocurrency exchanges operating in the country. The French Prudential Supervision and Resolution Authority (ACPR) began conducting on-site inspections in late 2024. These reviews target over 100 registered entities, including Binance and Coinbase. The inspections determine which platforms will receive EU-wide operating permits under the Markets in Crypto-Assets (MiCA) regulation.
During last year’s examination, ACPR specifically instructed Binance to strengthen its risk controls. The exchange maintains that these reviews represent routine regulatory oversight. A Binance spokesperson confirmed that engagement with ACPR forms an ongoing component of operating as an AML-registered company. The regulator conducts these checks across dozens of exchanges, as detailed in their 2024 annual report.
Binance and Coinbase Face Intensified Compliance Scrutiny Under MiCA Framework
The inspections verify compliance with conditions for PSAN (digital asset service provider) registration. ACPR teams focus on testing anti-money laundering and counter-terrorist financing controls. Companies typically receive several months to address deficiencies, often by hiring additional compliance staff. Platforms may need to strengthen IT security systems to meet regulatory standards.
Failure to address ACPR findings could lead to sanctions or compromise a company’s ability to obtain MiCA agreements from France. The stakes remain high for exchanges seeking to operate across all 27 EU member states. Companies have until June 2026 to secure the license, with only Deblock, GOin, Bitstack, and CACEIS receiving approval.
The information collected by ACPR gets shared with France’s Financial Markets Authority (AMF), which grants MiCA agreements. This collaborative approach ensures comprehensive regulatory oversight of digital asset service providers.
French AML Checks on Crypto Exchanges Reflect Broader European Regulatory Push
France, Austria, and Italy have urged the EU’s top markets watchdog to supervise major crypto companies directly. These countries identified implementation disparities across the bloc, prompting calls for tightened rules. France is a strategic European hub for many cryptocurrency operations, making these inspections particularly significant.
Binance replaced co-founder Changpeng Zhao with shareholders Yulong Yan and Lihua He in May 2024. This move allowed the exchange to maintain its operational status in France following Zhao’s guilty plea for violating U.S. banking laws.. French regulations prohibit majority shareholders with criminal records from controlling licensed entities.
The regulatory scrutiny extends beyond France’s borders. Earlier in 2025, Australia’s financial intelligence agency, AUSTRAC, directed Binance Australia to appoint external auditors after identifying serious concerns with the platform’s anti-money laundering controls.
MiCA Licensing Requirements Set High Bar for Crypto Exchange Operations
ACPR’s expanded checks represent a critical phase in Europe’s cryptocurrency regulation. The authority can impose severe penalties if exchanges fail to meet standards; these penalties could limit an exchange’s ability to operate throughout Europe. The comprehensive nature of these inspections signals France’s commitment to maintaining strict compliance standards.
Exchanges must demonstrate robust operational controls rather than policies alone. Regulators examine recordkeeping practices, risk assessments, and escalation procedures in detail. Platforms need documented evidence showing their detection systems work effectively in practice.
The outcome of these French AML checks on crypto exchanges will likely influence EU-wide licensing standards. Other member states may adopt similar approaches to evaluating cryptocurrency service providers. This harmonization could create more consistent regulatory expectations across the European Union.
Conclusion
France’s intensified regulatory approach sets a precedent for cryptocurrency oversight across Europe. The ACPR’s comprehensive inspections establish clear benchmarks for compliance and operational standards. Exchanges must adapt quickly to meet these evolving requirements or risk losing access to European markets.
