French lawmakers on a key legislative committee have unanimously agreed to new regulations restricting cryptocurrency promotions by social media influencers, reports by a Thursday statement from the country’s Senate.
Reports by a statement by Arthur Delaporte and Stéphane Vojetta, who led negotiations in the National Assembly, the deal allows promotions for products of any cryptocurrency company that has registered with the Financial Markets Authority – a softer line than they had previously taken.
The new law, which can potentially be the 1st in Europe to regulate social media personalities who do paid marketing – and includes areas such as cosmetics and gambling – was the subject of disputes betwixt the two chambers of the French legislature.
An Assembly draft of the influencers bill would have effectively banned cryptocurrency publicity through influencers by restricting it to digital investment corporations with a license. That strategy raised concerns from the industry, which warned the regulations could jeopardize the country’s ambitions to be a cryptocurrency hub.
Senators favored gentler restrictions, saying social media influencers should be allowed to encourage any company that gained registration – a much broader category that as of now includes dozens of corporations such as Binance Crypto exchange and Bitstamp.
No final text has is still been published of the deal struck by the Joint Mixed Committee, which includes representatives from both chambers.
On Wednesday, the European Commission proposed new regulations, which would make regulated financing corporations in charge of content that they pay or promote a social media “finfluencer” to encourage. If passed into law, those proposals would apply across the European Union, including France.