France Proposes DeFi Safeguards Under MiCA DeFi lets people lend, trade, and earn yield without relying on a traditional bank. But when a protocol fails, gets hacked or locks up funds, users can struggle to find who is responsible. France wants Europe to address that gap without shutting down decentralised finance. On October 21, French authorities including the AMF, Banque de France and Treasury published proposals for revising the EU’s Markets in Crypto-Assets Regulation (MiCA). Their position supports a secure, proportionate framework that allows DeFi projects to grow while giving users stronger safeguards. The proposals call for clearer responsibility where intermediaries are involved, appropriate due diligence duties and protocol certification. France also wants clearer rules for staking, crypto lending and borrowing activities that can look simple on an app but carry risks around custody, smart-contract failures and repayment. This is a proposal, not an adopted rulebook. The recommendations form part of France’s response to the European Commission’s MiCA review. Any changes would need to move through the EU process. The tension is familiar: too little oversight can leave users exposed; too much can push builders and liquidity elsewhere.