Service providers will offer life insurance policies in cryptocurrencies, as well as professional capital investment funds
The France’s National Assembly has approved a bill which allows insurance providers or markets in that country to invest in cryptocurrencies, according to what the badge news agency FXStreet announced on Thursday, April 11th.
The French Parliament granted its approval to the so-called “Action Plan for the growth and transformation of companies”, also known as “Le Pacte”, which obtained 147 votes in favor and 50 against it.
This bill tries to stimulate the development of local businesses, including the reorientation of private savings to the businesses ones, according to what the local news agency Les Echos details.
The measure comes after Eric Woerth, Head of the Finance Committee of the National Assembly, proposed to ban the Monero and Zcash cryptocurrencies, which happened last March.
Now, with this new announcement, insurers will be able to make investments in cryptocurrencies and tokens without having any limitations on the amount or type of cryptoactive to be used for the transaction.
Another of the great advantages of this new law is that it will allow individuals to redirect their savings as an investment in business. In addition, the law allows French insurance providers to invest in cryptocurrencies such as Bitcoin (BTC) with no limit on the amount of the investment. Thus, the law is designed to stimulate the development of local businesses and the use of cryptocurrencies to attract new investors.
A double provision of this legislation will allow service providers to invest in cryptocurrencies through specialized professional funds. Similarly, they can offer life insurance policies that customers can pay with cryptocurrencies, as well as professional investment funds (or Professional Capital Investment Funds, PCIF), in order to achieve a variety of services which would be as complete as possible.
Olivia Grégoire, a member of the French parliament who participated in the writing of the project, gave more details about the project, according to the Les Echos report this April 12th.
“Two types of transfers will be possible: from a life insurance policy to a contract subscribed subsequently, in the same insurer, and, until January 1st, 2022, from a life insurance policy to a new saving plan for retirement, in the format foreseen by the same provisions of the pact, he said.
It was also known that the law points to the privatization process. This includes the sale of the State’s participation in the group of airports ADP, which would raise funds for the creation of a new fund for innovation.
Joel Giraud, Deputy Director and budget manager of Emmanuel Macron’s party La République En Marche, confirmed the news, but he affirmed that the new crypto initiative “was not the main objective of the Pacte”.
The debate about the measures for the use of cryptoactives in France continues, whilst every day it opens new doors to the world of cryptoactive, which are immediate, electronic payments, smart contracts and the benefits blockchain technology offers in different fields of development.
By María Victoria Rodríguez