The Autorité des marchés financiers authorizes Société Générale to offer digital asset services

With the growing acceptance of crypto-assets, France has given Société Générale regulatory approval to operate digital asset services. Since its founding in 1864, Societe Generale has grown to become the third largest bank in France, with assets worth more than €1.4 billion in 2020. The financial institution is the sixth largest in Europe based on its balance sheets and operates in 66 countries worldwide.

Societe Generale gets approval as a digital asset provider in France

According to reports, Societe Generale quietly received the green light to operate as a digital asset service provider in September. The bank can now begin holding, selling and trading digital assets through its fully integrated blockchain-focused subsidiary, Société Générale Forge. This follows a decision by the French financial markets regulator, the Autorité des marchés financiers (AMF), on digital asset service providers (DASPs).

Until now, venture capitalists have faced the challenge of finding regulated custody solutions for digital assets. Fortunately, the AMF’s new decision provides a sign of hope, as these investors can now rely on Société Générale for digital asset issues. France’s situation with crypto-currencies is no different than many countries that face strict regulations. At the same time, many companies are seeking regulatory approval to offer digital asset services, just like Société Générale.

Societe Generale’s recent advances in digital assets

The news that Societe Generale has been given the green light as a crypto asset service provider in France comes after the institution’s previous attempts in the market. Last month, the bank announced that its securities services would add new custody services. It said the new service would be available to firms and asset managers with interests in Web3 and blockchain. Separately, the financial institution announced in June a collaboration with Metaco to expand its institutional digital asset capabilities. Metaco said in a press release that the agreement would help Societe Generale further penetrate the digital assets space.

Jean-Marc Stenger, CEO of Société Générale – FORGE, said:

“Bridging the gap between the digital asset industry and traditional finance requires a multifaceted approach that integrates institutional-level technology, regulation, as well as industry capabilities. By partnering with METACO, SG- FORCE will be able to leverage their secure infrastructure to ensure that we have a solid foundation to grow our business in the asset market.”

The bank’s co-head of global market activities, Alexandre Fleury, also expressed confidence in the institution’s ability to integrate innovative technologies.