Hello,

Following the start of the new academic year in September and as we approach the end of autumn, October and the beginning of November have seen a significant process of structuring within Adan.

On the operational front, the last few weeks have been devoted to validating the roadmaps of our Legal, PSAN, DeFi and NFT Committees. This process has been carried out in close collaboration with our Committee Presidents, whose day-to-day commitment makes a significant contribution to the development of the industry, hand in hand with Adan. Recent weeks have also seen the creation of the Tokenisation Committee within Adan, in response to the growing emergence of issues relating to the tokenisation of assets. The Association's involvement in these issues was an obvious necessity.

Internally, Adan continues to mature, reflecting the structuring of the Web3 sector. In October, the Association welcomed two new high-calibre recruits: Adriana Torres Vergara, Head of European Affairs based in Brussels, and Alizée Van Den Scrieck, Legal Affairs Officer. Their appointments come at a crucial time, given the particularly busy political and regulatory timetables expected for 2024. Welcome to them!

 

This structuring is part of a dynamic of growth and consolidation, underlining our ongoing commitment to facilitating the emergence of tomorrow's champions within our industry. In this respect, I would like to express my gratitude to all those who have actively contributed to the achievement of these strategic objectives, often in their spare time and with a heavy agenda.

 

We would like to highlight this dynamic once again through our traditional study on the adoption of crypto-assets and the state of the Web 3 sector (in partnership with KPMG and IPSOS), which we are renewing in 2024, and for which we are seeking essential support. The Adan study is regularly cited by both the media and institutional bodies (most recently by the OECD in its study for the AMF on new retail investors), and shows year on year how Web 3 is becoming structured, democratised and professionalised.

 

The past month was also marked by reunions with our members at French Fintech Week and our Crypto Live Legend event. These occasions provided an opportunity for in-depth discussions on the major issues facing the Web3 industry at the end of the year. And this is just the beginning! In the coming weeks, Adan will have the opportunity to connect the European sector with other major territories for Web3, notably the United Kingdom and the United States. Follow our news to stay informed about these important upcoming events.

Finally, since September, Adan has had the honour of welcoming 5 new members: Colossos, Fairplayer, PMU, Sorare and Spiko.

Welcome to them, and thank you for your confidence in our actions.

I hope you enjoy reading this newsletter,

Faustine

Announcements

 

The Adan team is growing

 

Adriana and Alizée are joining us to strengthen Adan's Public and Regulatory Affairs department.

Give them a warm welcome!

 

Adan is looking for partners for its 3rd study on the adoption and structuring of Web3!

Motivated by the positive impact of the two previous editions, Adan is renewing the "Web 3 and crypto in France and Europe" study in 2024, conducted jointly with KPMG France and Ipsos France.

Picked up by more than 90 French and foreign media, regularly quoted by public decision-makers and presented at a major event hosted by the Ministry of the Economy and Finance, this study has become a benchmark for assessing the state of the sector and users' understanding of the new uses of the Internet of value.

What does the study cover?

  • The scope and objectives of this 3rd edition remain unchanged, and are still in two parts:
    - An "Adoption of crypto-assets" section based on a survey of the French by IPSOS and a comparison with the UK, Germany, Italy and the Netherlands.
    - A section on the "Web3 industry", highlighting the key players and use cases.
  • But there's also something new for this 2024 version: a broader analysis of crypto adoption using new questions, questions relating to French and European policy and regulation, a bilingual report 🇫🇷🇬🇧 and even a 3rd sponsor category.
    ➡️ Interested in becoming a partner? Take part in shaping the content of the study? Get a sneak preview of the full survey results? Share your analysis of the report? contact us at: [email protected]
Adan will be in Las Vegas for CES 2024!

For its 5th edition, Investir Day returns in force in a prestigious setting at the Carrousel du Louvre, on 28 November 2023. Come and meet the players in the financial markets: listed companies, management companies, brokers, cryptocurrency players, economists, analysts and politicians... Whatever your profile, Investir Day is there to give you investment ideas, but also to help make sense of your investments.

On this occasion, our President Faustine Fleuret will be speaking alongside Grégory Raymond (Co-founder & Head of Research, The Big Whale) in a debate entitled "Stock markets: the galloping influence of web3.0?".

Adan is a partner of the Trustech 2023 event!

Adan is a partner of Trustech, the leading international event dedicated to Payments, Identification and Security. With over 30 years of history, this event has evolved to reflect the rapid transformation of the digital trust industry.

This not-to-be-missed event will be held at Paris Expo - Porte de Versailles from 28 to 30 November. Come and meet us!

Publications

 

Adan responds to IOSCO consultation on DeFi

In September 2023, IOSCO published a report for consultation on the regulatory treatment of decentralised finance (DeFi), building on initial work published in March 2022.

The report includes 9 specific policy recommendations for regulators to consider when setting rules for the sector - in what is believed to be a first attempt of its kind among international standard setters.

Adan announces the creation of its Tokenisation Committee
On 8 November, at a breakfast meeting, the Adan Association launched a new working committee aimed at bringing together those involved in tokenisation to start thinking about the challenges involved in developing this innovation in France and Europe.

Works

  In France 🇫🇷

With the budget due to be voted on as part of the Finance Bill for 2024, an amendment aimed at removing the tax uncertainty surrounding staking is likely to be adopted. As we mentioned in the September newsletter, given the current economic climate, the Finance Bill for 2024 was not the most favourable legislative vehicle for proposals to adapt the sector's tax regime. Despite this, the bill will provide some welcome clarifications regarding the tax treatment of the staking of digital assets in France. The amendment tabled by MP Éric Bothorel aimed to bring the mining regime into line with the taxation of non-commercial profits (BNC) - something that most legal practitioners were already doing in practice. Now that the debates in the Assembly have been concluded, the text will be in the hands of the Senate, which will re-examine this amendment. Adan will continue to work on this amendment in order to make the necessary adjustments to finalise the debates before the law is promulgated.

 

After more than a year of in-depth discussions with French institutions, the definition and regulatory framework applicable to Web3 gaming games (JONUM) has been adopted by the French National Assembly. On Tuesday 17 October, the French National Assembly adopted, on first reading, the bill aimed at securing and regulating the digital space (the "PJL SREN"). Articles 15 and 15 bis of this law provide for the creation of a definition and regulatory framework for monetisable digital object games, under the supervision of the National Gaming Authority. After ongoing exchanges with the various stakeholders involved in the text, the Association will continue to make proposals until the vote in the Joint Committee, which could lead to validation of the final version of the text.

 

The creation of a DeFi regulation is gradually taking shape in Europe, and France is positioning itself as a leader in the discussions. In the run-up to the publication of the European Commission's report on the regulation of DeFi, discussions are moving forward: recently, the ACPR published the summary of its consultation on DeFi. The ACPR, which is considering a number of avenues for regulating this ecosystem, will undoubtedly play a key role in the progress of the European discussions, and Adan is keen to support these debates to encourage the introduction of a suitable experimental framework for DeFi.

 

In Europe 🇪🇺

Following the publication of the update to the Payment Services Directive this summer, discussions between the co-legislators have begun and Adan has taken up its position. The Payment Services Directive (PSD3), an update of the PSD2 regulation, aims to enhance the efficiency and security of electronic payments in the European Union. However, among the proposed new rules, PSD3 qualifies electronic money tokens or 'EMTs' (a type of stablecoin backed by legal tender) as funds. This qualification could have major implications, particularly in France where it could put an end to the application of tax deferral for 'crypto-crypto' transactions and at European level as it also creates a legal blur with the MiCA regulation which defined EMTs as a type of crypto-asset subject to the same obligations as electronic money. While discussions are progressing at European level, Adan is warning its contacts about the negative risks that such a qualification could entail.

With less than a year to go before the gradual entry into force of the regulation on stablecoins and crypto actors (PSAN / CASP) in Europe, the technical legislation aimed at fine-tuning MiCA is gathering pace. While the MiCA Regulation is scheduled to come into force progressively in 2024, first on the stablecoin part and then on the CASP (PSAN) part, the European Commission and the European supervisory authorities (EBA and ESMA) are continuing to make progress on the technical legislation to enable the practical application of the text and to resolve certain legal and operational issues still unresolved in applying the text. In all, three consultations are underway until the end of January. The Association, via its Legal and PSAN Committees, is preparing responses to each of them.

Anti-money laundering: the industry is gradually seeing the light at the end of the tunnel as regards the finalisation of the European AML/CFT package. The fourth political trialogue on the European AMLR Regulation was recently held with the aim of unifying the framework for combating money laundering and terrorist financing at European level. Although stalemates were noted in the political discussions, the European elections scheduled for 2024 should prompt legislators to reach agreement on key aspects of AMLR by the end of the year. However, issues relating to crypto-assets remain unresolved, particularly concerning the subjection of NFT operators to AML/CFT rules, and will be discussed in the coming days.

Interventions

 

 

  • Hugo Bordet took part in the DACOM EU 2023 organised by Solidus Labs as a speaker on a round table focusing on MiCA and European regulations.

 

  • Our entire team was on hand for our Fintech3.0 by Adan event on 18 October, and our chairwoman also gave the opening speech at this afternoon's debates.

 

  • Faustine Fleuret was in Angers on 19 October for the inauguration of Cube3, of which Adan is a partner and our President is an advisor.