Home » Business » F1 teams forced to remove “crypto” branding due to regulatory uncertainty in France: report
While France is primarily supportive of digital assets, its industry regulations are not entirely clear. This was recently demonstrated by the debacle experienced by Formula 1 (F1) racing teams with digital asset firms as sponsors.
According to a report by Racing News 365, during the F1 French Grand Prix weekend held recently, eight of the ten participating teams with digital currency partners were forced at short notice to take legal advice as to what is permitted by the Autorité des Marche Financiers (AMF)—France’s financial market regulator.
All of these teams are sponsored by digital asset firms. A few employees, including Alfa Romeo, AlphaTauri, and Alpine, who were sponsored by Vauld and Floki, Fantom digital ecosystem, and Binance, chose to remove or conceal their sponsors’ branding.
For the same reason, the event’s organizers, F1, did not display the logo of their global partner Crypto.com.
Meanwhile, due to the ambiguity of the AMF’s rule, other teams, such as Mercedes (sponsored by FTX), Aston Martin (Crypto.com), Ferrari (Velas network), Red Bull Racing (Bybit and Tezos), and McLaren (OKX and Tezos), have chosen to continue to display their sponsors’ branding.
According to a Mercedes spokesperson, the company chose to ride with its sponsor’s logo after it was clarified that Velas Network does not provide services that fall under the purview of the AMF.
“Velas Network AG informed us that it does not provide services that would necessitate registration with the [AMF], and thus there is no advertisement prohibition with respect to the use of the Velas logo on Scuderia Ferrari assets within the scope of the French GP,” the person stated.
France is still struggling to provide regulatory certainty regarding digital assets.
Since 2018, the AMF has prohibited the marketing and advertising of digital assets. However, the complication stems from the regulator’s ambiguous definition of digital assets.
Tobacco, alcohol, and gambling are among the other products and services that cannot be advertised in France. Many other countries, including the United Kingdom and Singapore, have similar rules for marketing and advertising digital assets.
Meanwhile, France has been making proposals to clarify its position on digital asset regulations, giving it a higher priority than the establishment of a CBDC. An outgoing lawmaker recently urged the European Union member to move forward with enacting swift digital asset laws rather than relying solely on unified regulations.
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