France Could Block Crypto Firms With MiCA Licenses Due to Enforcement Gap Concerns

France is warning it may block cryptocurrency firms licensed in other EU countries from operating locally, citing concerns about gaps in enforcement under the new MiCA framework. The French financial watchdog argues that some firms are exploiting looser jurisdictions, and together with Italy and Austria, is calling for ESMA to oversee major crypto companies directly. The move could challenge the EU’s “passporting” mechanism and reshape the bloc’s crypto regulatory landscape.