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French rules prohibits the marketing of cryptocurrencies, be it cryptocurrencies, exchange platforms or other companies in the sector. As a result, most Formula 1 teams have been forced to remove their logos and any mention of these brands from their cars and clothing.
There are rumors that this could be a ban on cryptocurrency marketing. spread throughout the European Union.
From many Formula 1 teams The presence of crypto partners, be they exchange platforms, cryptocurrencies or even brands that promote crypto wallets.
However, it turns out that France has strict laws in the field of advertising displays, and only the Financial Markets Authority (AMF), which regulates these markets, has the right to determine what can and cannot be used.
Some brands already are AMF member, for the most part it is not. It turns out that, according to this organization, the term “crypto” remains broad and can refer to trading platforms, cryptocurrency, or even a virtual wallet. For this reason, anything related to the term “crypto” is not allowed in any form of advertising.
Many became so during the French Grand Prix, which took place from 22 to 24 July. The sponsors have decided to leave any mention of cryptocurrencies of their cars and clothes, while others called their legal department to see if they could release them or not.
Out of ten F1 teams eight of them Have at least one partner associated with the cryptocurrency industry. Following this ban on the use of the term “crypto” in advertising screens, several teams have chosen to remove their crypto partners from their cars in France.
Crypto.com, F1’s global partner and sponsor of the Aston Martin team, told RacingNews365:
We have decided not to use our trademark rights for this tender. However, as a global partner of F1, we expect our rights to be used in other ways in future races.
Likewise, the Alpine team removed the Binance logo from their vehicles, trailers and equipment, just like Alpha Tauri didn’t show the Fantom ecosystem on their vehicles. to avoid problems with AMP.
Alfa Romeo has also decided to do it on their side. remove all mentions of your crypto partners during this race. The team said they made the decision after learning that a partner from the cryptocurrency world needs to be listed on the MFA in the form of advertising, which Floki and Wold don’t do.
Some teams oppose MFA
Red Bull made a choice hold a show of their two sponsors ByBit and Tezos during the race. The brand is aware of the situation but believes their logos are unrelated to MFA.
The same goes for Mercedes, which kept the Velas logo on their cars during the Grand Prix. After speaking with Velas, Mercedes learned that the brand does not have it. MFA approval is not required. Then they added:
The Velas network has informed us that it does not provide services subject to MFA registration and therefore it is not forbidden to advertise the use of the Velas logo on the Scuderia Ferrari team during the French Grand Prix.
France and cryptocurrency regulation
Although the decision seems tough, it turns out that cryptocurrencies Wind in sails in France. Despite the lack of a well-defined regulatory framework. The MFA is passing it, which in July 2021 published proposals with the European Commission, and the latter is now working on four main points.
France is one of the countries where there are cryptocurrencies more accepted in Europe. According to the Gemini Global State of Crypto 2022 report, 16% of French cryptocurrencies own, with this percentage rising to 62% among high-income families.
In addition, more than a certain gender ratio is maintained in France. 45% of the investors are women. Furthermore, 8% of the French have expressed a desire to buy cryptocurrencies by the end of the year.
Therefore, the ban on advertising the term “crypto” is not a strict rule. only for this sector but it usually touches on areas that marketers may or may not easily exploit.
The French laws on this matter are relatively strict and not new. So this is not surprising for F1, as similar laws have been applied for years to brands that sell alcohol, tobacco or even gambling. 2018, Prohibition of display of the Martini brand during the Grand Prix it made headlines.
It remains to be seen whether other EU countries will do so. build on this example do the same or it will remain just a French exception. The rules relating to the world of cryptocurrencies are under development as the sector is still relatively new.
The rules for the cryptocurrency industry are still relatively unclear. One thing is certain, all the countries of the world are working on this topic and they want to do it strengthen stricter control to avoid some abuses that lead to the instability of the sector.