French Authorities Push to Hold Crypto Platforms Liable for Ignored DeFi Vulnerabilities

TL;DR France has proposed holding crypto platforms liable for certain customer losses when they facilitate access to DeFi protocols. The proposal includes security audits, vulnerability monitoring, and certification requirements for protocols and smart contracts. France also wants to expand ESMA’s authority over major crypto platforms and revise MiCA’s regulatory criteria. France has proposed amending the European Union’s MiCA regulation to hold crypto platforms liable for certain security incidents involving decentralized finance (DeFi) protocols. The measure would apply to providers that facilitate access to these services without assessing their risks or that ignore known vulnerabilities. The proposal was jointly submitted by the French Treasury, the Financial Markets Authority (AMF), the Bank of France, and the Prudential Supervision and Resolution Authority (ACPR).

BeCrypto News shows a short excerpt and links to the publisher. The full report belongs to Crypto Economy.