French Regulator Eases Restrictions on Crypto-Linked ETNs for Retail Investors

France's Autorité des Marchés Financiers (AMF) has updated its guidance on crypto-linked exchange-traded notes (ETNs), allowing them to be marketed to retail investors without the previous warning that labeled the products "too complex." The adjustment brings French policy closer to the broader European trend of easing restrictions on regulated crypto investment products.

The decision follows similar moves in the United Kingdom, where the Financial Conduct Authority (FCA) approved retail access to crypto ETNs earlier this year. Regulators across Europe have increasingly signaled that the asset class, while still high-risk, can be structured within transparent and supervised frameworks.

Revised Criteria for Crypto Underlyings

In a statement issued on 8 December, the AMF said it was modifying two existing positions to reflect the growth of crypto-assets. Under the new approach, crypto tokens may serve as underlying assets for complex debt securities such as ETNs—so long as certain conditions are met.

Among these requirements:

a minimum market capitalisation of €10 billion,

trading on platforms compliant with the Markets in Crypto-Assets (MiCA) regime, and

use only in non-leveraged ETN products.

These conditions replace the prior blanket warning on marketing materials, which discouraged retail investors by stating that the regulator had not reviewed the promotional content.

While the new guidance alters marketing rules rather than opening retail access for the first time, crypto ETNs already appeared in French pension plans in 2024. That year, VanEck partnered with Inter Invest to offer bitcoin exposure through the VanEck Bitcoin ETN, which manages more than $400 million.

The AMF's policy shift reflects a broader reassessment among European regulators, who are increasingly balancing investor protection with the growing demand for regulated crypto exposure.