90 Crypto Companies in Trouble: France's June Deadline Approaching, 30% of Firms Still Unresponsive

The French Financial Markets Authority (AMF) recently issued a warning that among approximately 90 crypto companies in France that have not obtained a MiCA license, nearly one-third still have not clarified to regulators whether they plan to apply for one. As the EU Markets in Crypto-Assets Regulation (MiCA) transition period will end on June 30, these “silent” companies face a critical choice: either complete their license application before the deadline or execute an orderly exit. According to the latest data, 30% of companies have applied for a license, 40% have explicitly stated they will not apply, but the remaining 30% remain uncertain, which is the biggest concern for regulators.

What is MiCA and Why Is It So Important

MiCA is the EU’s crypto asset market regulation introduced in 2023, aimed at establishing a unified regulatory framework for the crypto industry. Simply put, this regulation requires all companies providing crypto services within the EU to obtain appropriate licenses and authorizations. France, as an EU member state, is also implementing this regulation. Starting from the end of 2023, France set up a transition period allowing registered but unlicensed crypto companies time to apply for licenses. However, this transition window is closing rapidly, with the deadline set for June 30, 2026.

Current Situation Analysis: The Dilemma Behind the Three-Category Breakdown

According to AMF data, among about 90 registered but unlicensed crypto companies in France, the situation falls into three categories:

What regulators worry most is the 30% of companies that have not provided any plan. An executive from the AMF market supervision department stated that this silence not only increases regulatory uncertainty but may also indicate that these companies lack clear plans for their future. Some may be waiting and watching, some may lack sufficient resources to meet MiCA compliance, and others may be facing operational difficulties.

Time Pressure: About 5 Months Until the Deadline

From now until June 30, there are roughly 5 months remaining. While this seems like enough time, for crypto companies needing to complete complex compliance processes, the timeline may be tighter than expected. Applying for a MiCA license involves multiple steps: financial audits, risk control system setup, compliance team staffing, regulatory document preparation, etc. For small and medium-sized crypto firms with limited resources, meeting all these requirements in a short period can be very challenging.

This also explains why 40% of companies have explicitly chosen not to apply. For these firms, investing heavily to pursue a license may not be worthwhile; instead, they prefer to exit in an orderly manner to preserve their survival space.

Significance for Licensed Companies

It is worth noting that leading crypto firms like Coinbase, Circle, and Revolut have already obtained MiCA licenses. This demonstrates that license applications are feasible, provided companies have sufficient resources and determination. The success stories of these companies send a clear signal: compliance is not the end goal but a necessary step to enter the EU market.

Potential Future Market Impacts

As June 30 approaches, the market may face several scenarios:

• Mass Exits: The 30% of companies that have not responded and do not make a decision may be forced to implement an orderly shutdown, affecting their users and assets.
• Accelerated Consolidation: Some small and medium enterprises may be compelled to seek acquisitions or mergers to maintain their presence in the EU market.
• Market Concentration: Licensed companies will likely gain larger market shares, further increasing industry consolidation.
• User Rights Concerns: During shutdowns, proper handling of user assets becomes critical, potentially drawing further regulatory attention.

According to the European Securities and Markets Authority (ESMA), companies that have not obtained MiCA authorization must develop and implement an “orderly exit” plan before the transition period ends, indicating that regulators are preparing for the worst-case scenario.

Summary

This case in France reflects the broader upheaval the global crypto industry is experiencing. From rapid growth to regulated management, companies are no longer just competing in the market but also facing regulatory tests. The 30% of companies that have not responded are at a critical juncture; their choices will determine their future. For the entire industry, the enforcement of MiCA marks a step toward mainstream acceptance of cryptocurrencies, which will inevitably involve stricter regulatory frameworks. How this story unfolds in the coming months remains to be seen and warrants ongoing attention.