At a time when technology is evolving at a breakneck pace, blockchain is establishing itself as a revolution in the field of corporate law. This technology, known for its security and reliability, is radically transforming the ways in which shareholders are identified, especially in private companies. The ordinance of December 8, 2017, stemming from the Sapin 2 law, marks a turning point in the French legal framework by introducing the shared electronic registration system (DEEP). This article explores the implications of this advancement for shareholders and the French legal landscape.
Blockchain: a tool for transparency and reliability
The blockchain is a fundamentally interactive technology that records all transactions made between users in the form of blocks. This decentralized ledger offers impeccable traceability of each exchange, making every transaction tamper-proof. In a context where trust is essential, this approach without intermediaries or centralized authority provides unprecedented legal security for financial operations.
With DEEP, it becomes possible to record the identity of shareholders in a distributed ledger, thus replacing the traditional system of registration with a central depository. This change proves crucial for private companies, where identifying shareholders is a major issue for transparency and good governance.
The impact of the Sapin 2 law on private companies
The Sapin 2 law, by amending the Monetary and Financial Code, has paved the way for the use of blockchain for shareholder identification. By legally assimilating registration in a DEEP to traditional account registration, the legislator has secured the transfer operations of financial titles. In accordance with Article L211-17 of the CMF, the ownership of titles now results from registration in this innovative ledger, thereby enhancing the legitimacy of transactions carried out via this technology.
This reform is particularly beneficial for companies with a large number of shareholders, as well as for those dealing with significant movements of titles and funds, such as asset managers and crowdfunding platforms. The use of DEEP not only simplifies the management of shareholder accounts but also optimizes operational costs.
An unprecedented modernization of securities accounts
With the implementation of DEEP, the management of securities accounts for shareholders is profoundly modernized. Blockchain technology facilitates title movements, going far beyond simple transfers. It allows for the management of various types of operations affecting ownership rights, such as loans, pledges, and leases. This represents a significant advancement for companies seeking to navigate an increasingly complex environment.
Furthermore, the legal framework, by approving the use of DEEP, favors an innovative climate that meets market demands. This evolution raises new opportunities for companies and investors, who can now carry out transactions with an unparalleled level of trust and security.
France, a pioneer of blockchain legislation in Europe
France thus positions itself as a European leader in legislation favorable to blockchain. By adopting pro-blockchain laws, the country enhances its economic and financial attractiveness. This legislative dynamic helps to create an ecosystem conducive to innovation, attracting investors and companies looking to benefit from the advantages offered by this emerging technology.
The success of this reform, however, will depend on the practical modalities implemented by the Council of State, which should be specified no later than July 1, 2018. This date will mark an important milestone on the path toward the widespread adoption of DEEP within the French framework.
In summary, blockchain and DEEP represent a major advancement not only for shareholders but also for the entire French legal landscape. The interaction between these technologies and corporate law promises to transform governance and transparency standards, while fostering rapid evolution to keep pace with future innovations.
