Mayotte
Retail_Trading_Status
- Analysis ID
- #727
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- Created
- 2025-12-12 04:52
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- b83b57ff...
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Executive Summary
Retail cryptocurrency trading is legal and regulated in Mayotte, which follows the regulatory framework of France as an Overseas Department. The primary regulators are the French Autorité des Marchés Financiers (AMF) and the Autorité de Contrôle Prudentiel et de Résolution (ACPR), enforcing the PACTE Law's registration requirements and the EU's Markets in Crypto-Assets (MiCA) regulation. Intermediaries offering custody or fiat-to-crypto exchange services must be registered as Digital Asset Service Providers (DASPs/PSANs).
Key Pillars
Autorité des Marchés Financiers (AMF) - Primary securities regulator responsible for DASP registration and licensing
Autorité de Contrôle Prudentiel et de Résolution (ACPR) - Oversees anti-money laundering (AML) and prudential supervision
Institut d'Émission des Départements d'Outre-Mer (IEDOM) - Acts as the central bank branch ensuring monetary stability, though regulatory policy is set in Paris
Mandatory DASP (PSAN) Registration - Required for custody and fiat exchange services; involves strict AML/CFT checks
EU MiCA Regulation - Fully applicable framework replacing national rules for crypto-asset service providers (CASPs) by 2026
Landmark Laws
PACTE Law (Loi Pacte) (Law No. 2019-486) - Enacted: 2019-05-22
- Established the initial French regulatory framework for digital assets, creating the status of Digital Asset Service Provider (PSAN). It mandates registration for custodians and fiat-crypto exchanges and offers an optional license for other services.
- Source
Markets in Crypto-Assets Regulation (MiCA) (Regulation (EU) 2023/1114) - Enacted: 2023-05-31
- Comprehensive EU-wide regulation governing the issuance and trading of crypto-assets. As an EU Outermost Region, Mayotte is subject to this regulation, which introduces stricter licensing for CASPs and consumer protections.
- Source
Ordinance on Crypto-Asset Markets (Ordinance No. 2024-936) - Enacted: 2024-10-15
- Adapts French national law to align with MiCA, outlining the transition from the PACTE regime to the European CASP status.
- Source
Considerations
Mayotte is an EU Outermost Region (OR), meaning EU regulations like MiCA apply directly unless specific derogations are granted (none exist for crypto).
Capital gains from crypto trading are subject to the 'Prélèvement Forfaitaire Unique' (PFU) flat tax of 30% for individuals, similar to mainland France.
Professional traders are taxed under the progressive income tax scale (BIC) rather than the flat tax.
Local banking access can be stricter than in mainland France; residents often use EU-licensed exchanges that passport services to French territories.
The transition period allows existing registered DASPs to operate until July 2026 before obtaining full MiCA authorization.
Notes
Mayotte's status is legally identical to mainland France. However, as an outermost region, internet connectivity and access to digital banking services can sometimes lag behind the mainland, potentially affecting the practical user experience for retail traders.
Remaining Uncertainties
- Specific local enforcement actions by IEDOM or local courts in Mayotte regarding crypto fraud are not widely publicized.
- The practical availability of banking rails for crypto specifically within Mayotte's local banking sector (as opposed to using mainland French banks) remains anecdotal.
Detailed Explanation
Detailed Explanation
Retail cryptocurrency trading is legal and regulated in Mayotte. As an Overseas Department of France, Mayotte is fully integrated into the French and European Union regulatory frameworks for digital assets. The primary regulatory pillars are the French Autorité des Marchés Finériers (AMF), which handles the registration and licensing of service providers, and the Autorité de Contrôle Prudentiel et de Résolution (ACPR), which oversees anti-money laundering and counter-terrorist financing compliance. The Institut d’Émission des Départements d’Outre-Mer (IEDOM) acts as the central bank branch locally, ensuring monetary stability, though overarching policy is set in Paris. The foundational national law is the PACTE Law (Law No. 2019-486), enacted on 2019-05-22, which established the mandatory registration for Digital Asset Service Providers (DASPs/PSANs) offering custody or fiat-to-crypto exchange services. This national framework is now being superseded by the comprehensive EU-wide Markets in Crypto-Assets Regulation (MiCA) (Regulation (EU) 2023/1114), enacted on 2023-05-31, which applies directly to Mayotte as an EU Outermost Region. MiCA introduces a stricter licensing regime for Crypto-Asset Service Providers (CASPs) and enhanced consumer protections, with a transition period allowing existing DASPs to operate until July 2026 before obtaining full MiCA authorization. To align French law with MiCA, the Ordinance on Crypto-Asset Markets (Ordinance No. 2024-936) was enacted on 2024-10-15, detailing the transition from the PACTE regime. For individual traders, capital gains are subject to the flat 'Prélèvement Forfaitaire Unique' (PFU) tax of 30%, while professional traders are taxed under the progressive income tax scale. Practically, while the legal status is identical to mainland France, residents of Mayotte may face stricter local banking access and potential lags in internet connectivity, which can affect the user experience, though they can utilize services from EU-licensed exchanges that passport into French territories.
Summary Points
I. Regulatory Status
* Retail cryptocurrency trading is Allowed-Regulated.
* The legal framework is identical to mainland France as Mayotte is a French Overseas Department.
* As an EU Outermost Region, EU regulations like MiCA apply directly.
II. Key Regulatory Bodies
* Autorité des Marchés Financiers (AMF): The primary securities regulator responsible for DASP registration and licensing.
* Autorité de Contrôle Prudentiel et de Résolution (ACPR): Oversees anti-money laundering (AML) and prudential supervision of service providers.
* Institut d’Émission des Départements d’Outre-Mer (IEDOM): Acts as the central bank branch locally, ensuring monetary stability (regulatory policy is set in Paris).
III. Important Legislation
* PACTE Law (Loi Pacte) (Law No. 2019-486): Enacted 2019-05-22. Established the initial French framework, creating the Digital Asset Service Provider (PSAN) status. Mandates registration for custody and fiat-crypto exchange services.
* Markets in Crypto-Assets Regulation (MiCA) (Regulation (EU) 2023/1114): Enacted 2023-05-31. The comprehensive EU-wide regulation governing crypto-assets, fully applicable in Mayotte. It introduces stricter licensing for Crypto-Asset Service Providers (CASPs) and will replace national rules after a transition period.
* Ordinance on Crypto-Asset Markets (Ordinance No. 2024-936): Enacted 2024-10-15. Adapts French national law to align with MiCA, outlining the transition from the PACTE regime to the European CASP status.
IV. Compliance Requirements
* Intermediaries offering custody or fiat-to-crypto exchange services must be registered as Digital Asset Service Providers (DASPs/PSANs) with the AMF, involving strict AML/CFT checks.
* The optional DASP license under PACTE Law is being transitioned to the mandatory MiCA authorization for all Crypto-Asset Service Providers by July 2026.
* Existing registered DASPs can operate under a transition period until the MiCA deadline.
* Service providers must comply with AML directives enforced by the ACPR.
V. Notable Restrictions or Limitations
* Capital gains tax for individuals is levied under the 'Prélèvement Forfaitaire Unique' (PFU) flat tax of 30%.
* Professional traders are taxed under the progressive income tax scale (BIC), not the flat tax.
* Local banking access in Mayotte can be stricter than in mainland France, potentially complicating fiat on/off ramps for residents.
VI. Recent Developments or Notes
* The regulatory landscape is in a transition phase from the national PACTE Law to the EU's MiCA framework, with full application expected by 2026.
* Residents often rely on EU-licensed exchanges that passport services to French territories due to potential local banking limitations.
* As an outermost region, internet connectivity and access to digital banking services can sometimes lag behind mainland France, affecting the practical user experience for retail traders.
Full Analysis Report
Full Analysis Report
Mayotte, as a French Overseas Department (Département d'outre-mer), is fully integrated into the French legal and financial system. Consequently, the regulatory status of cryptocurrency trading in Mayotte is 'Allowed-Regulated,' mirroring the framework established in mainland France. The primary legislative instrument governing this sector has historically been the Action Plan for Business Growth and Transformation (PACTE Law) of May 2019. This law introduced the status of Prestataires de Services sur Actifs Numériques (PSAN), requiring entities providing digital asset custody or purchase/sale services for legal tender to register with the Autorité des Marchés Financiers (AMF). The Autorité de Contrôle Prudentiel et de Résolution (ACPR) works alongside the AMF to ensure compliance with Anti-Money Laundering (AML) and Combating the Financing of Terrorism (CFT) standards.
Since Mayotte is also an Outermost Region of the European Union, it is subject to EU regulations. The Markets in Crypto-Assets (MiCA) regulation, which entered into full force in December 2024, applies directly to Mayotte. This regulation supersedes the national PACTE framework for many aspects of crypto-asset service provision. Under MiCA, service providers (now termed CASPs) face more rigorous capital, governance, and consumer protection requirements. A transitional period is currently in effect until July 2026, allowing firms previously registered under the PACTE regime to continue operations while they seek full MiCA authorization. This ensures continuity for retail users in Mayotte who utilize French or EU-based platforms.
From a tax perspective, residents of Mayotte are subject to the French tax code. For individual retail investors, gains derived from the sale of digital assets are taxed at a flat rate of 30% (Prélèvement Forfaitaire Unique), comprising 12.8% income tax and 17.2% social contributions. However, if trading activity is deemed habitual and professional, profits are classified as industrial and commercial profits (BIC) and taxed at progressive income tax rates, which can be significantly higher. The distinction between 'occasional' and 'professional' trading remains a nuanced area often determined by the frequency and volume of transactions.
Operationally, while the legal framework is robust, residents of Mayotte may face practical challenges regarding banking integration. The Institut d'Émission des Départements d'Outre-Mer (IEDOM) acts as the central bank branch, and while it does not ban crypto, local banks may be conservative in processing transfers to crypto exchanges due to de-risking policies. Nevertheless, because Mayotte uses the Euro and is part of the SEPA zone, residents can legally and technically access any AMF-registered or EU-passported exchange, ensuring a wide range of compliant options for retail trading.
Mayotte, as a French Overseas Department (Département d'outre-mer), is fully integrated into the French legal and financial system. Consequently, the regulatory status of cryptocurrency trading in Mayotte is 'Allowed-Regulated,' mirroring the framework established in mainland France. The primary legislative instrument governing this sector has historically been the Action Plan for Business Growth and Transformation (PACTE Law) of May 2019. This law introduced the status of Prestataires de Services sur Actifs Numériques (PSAN), requiring entities providing digital asset custody or purchase/sale services for legal tender to register with the Autorité des Marchés Financiers (AMF). The Autorité de Contrôle Prudentiel et de Résolution (ACPR) works alongside the AMF to ensure compliance with Anti-Money Laundering (AML) and Combating the Financing of Terrorism (CFT) standards. Since Mayotte is also an Outermost Region of the European Union, it is subject to EU regulations. The Markets in Crypto-Assets (MiCA) regulation, which entered into full force in December 2024, applies directly to Mayotte. This regulation supersedes the national PACTE framework for many aspects of crypto-asset service provision. Under MiCA, service providers (now termed CASPs) face more rigorous capital, governance, and consumer protection requirements. A transitional period is currently in effect until July 2026, allowing firms previously registered under the PACTE regime to continue operations while they seek full MiCA authorization. This ensures continuity for retail users in Mayotte who utilize French or EU-based platforms. From a tax perspective, residents of Mayotte are subject to the French tax code. For individual retail investors, gains derived from the sale of digital assets are taxed at a flat rate of 30% (Prélèvement Forfaitaire Unique), comprising 12.8% income tax and 17.2% social contributions. However, if trading activity is deemed habitual and professional, profits are classified as industrial and commercial profits (BIC) and taxed at progressive income tax rates, which can be significantly higher. The distinction between 'occasional' and 'professional' trading remains a nuanced area often determined by the frequency and volume of transactions. Operationally, while the legal framework is robust, residents of Mayotte may face practical challenges regarding banking integration. The Institut d'Émission des Départements d'Outre-Mer (IEDOM) acts as the central bank branch, and while it does not ban crypto, local banks may be conservative in processing transfers to crypto exchanges due to de-risking policies. Nevertheless, because Mayotte uses the Euro and is part of the SEPA zone, residents can legally and technically access any AMF-registered or EU-passported exchange, ensuring a wide range of compliant options for retail trading.
Source Evidence
Primary and secondary sources cited in this analysis
"The legal regime of digital asset service providers (DASP) created by the PACTE Law of May 22, 2019 has evolved further to the adoption of Order No. 2020-1544... strengthening the anti-money laundering and counter-terrorist financing framework."
"Following the entry into force of the MiCA ordinance and the implementing decree amending French law, the Autorité des marchés financiers (AMF) is amending its doctrine... to take into account the entry into force of MiCA."
"Adapting the provisions of the Monetary and Financial Code to ensure compliance with Regulation (EU) 2023/1114 (MiCA)."
"Promulgated on 22 May 2019, French legislation for markets in digital assets (the “PACTE law”) establishes an innovative regulatory framework... applicable in France."
"The French regime established under the PACTE Act will remain in force until 30 June 2026. During this 18-month transitional period, DASPs already registered... may continue to operate."
Web Sources (7)
Sources discovered via web search grounding
Search queries used (4)
- taxation of cryptocurrency Mayotte
- AMF France crypto regulation overseas territories Mayotte
- IEDOM Mayotte crypto assets warning
- Mayotte cryptocurrency regulation French law application
https://www.mexc.com/en-PH/news/114221
https://www.adan.eu/en/publication/the-french-regulatory-framework-for-markets-in-crypto-assets/
https://www.globallegalinsights.com/practice-areas/blockchain-cryptocurrency-laws-and-regulations/france/
https://beaubourg-avocats.fr/en/cryptocurrency-laws-regulations-france/
https://www.etfstream.com/articles/french-regulator-removes-warnings-for-retail-marketed-crypto-etns
https://www.eba.europa.eu/publications-and-media/press-releases/eu-supervisory-authorities-warn-consumers-risks-and-limited-protection-certain-crypto-assets-and
https://www.amf-france.org/en/news-publications/depth/mica