6 Fatal Mistakes That Could Cost You Your CASP License
- BECTRA
- Feb 12
- 2 min read
Updated: Feb 13
CASP License Withdrawal: Conditions, Consequences, and Procedures
What is CASP License Withdrawal ?
The Autorité des Marchés Financiers (AMF) can revoke the license of a Crypto-Asset Service Provider (CASP) under specific circumstances. This withdrawal may affect the company’s entire activities or only a specific service.
Reasons for CASP License Withdrawal
You may lose your CASP license if:
Prolonged Inactivity:
You have not used the license within one year of obtaining it.
You have not provided any crypto-asset services for nine consecutive months.
Voluntary Renunciation:
You choose to voluntarily renounce your license.
Fraudulent Acquisition:
The license was obtained fraudulently, for example through false declarations.
Regulatory Non-Compliance:
You no longer meet the licensing conditions and fail to correct the situation despite AMF’s requests.
You have not implemented effective measures against money laundering and terrorist financing.
You violate French laws related to anti-money laundering.
Serious Violations:
You have committed major breaches of rules, especially those protecting clients or market integrity.
Loss of Related License:
You lose your payment institution or electronic money license and fail to resolve the issue within 40 days.
Partial License Withdrawal: A Possibility
In some cases, the withdrawal may only affect a specific service without impacting your company’s other activities.
Immediate Consequences of License Withdrawal
Immediate Suspension of Activities: Once the withdrawal is effective, you must immediately cease your crypto-asset-related activities.
Notification to Authorities: The AMF promptly informs the European Securities and Markets Authority (ESMA) and the contact points of other EU member states.
The withdrawal of a CASP license is a severe measure that can significantly impact a crypto-asset service provider's operations. It is therefore crucial to strictly comply with regulatory obligations to avoid such situations.
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