France Taxes Crypto Wealth Over 2M Euros

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Under the amber glow of a fading sun, French lawmakers, with quills dipped in the ink of fiscal ambition, have declared war on the specters of idle capital. A new decree, whispered through the halls of power, now casts a shadow over crypto holdings, as if the digital gold itself were a siren song of decadence. 🧾

French lawmakers, in a ballet of bureaucracy, have advanced a new tax amendment. The levies, a symphony of fiscal restraint, target “unproductive wealth.” Furthermore, the crypto holdings and property, deemed mere phantoms of value, are now ensnared in this web of taxation. The amendment, a sonnet penned by Jean-Paul Mattei, centrist MP, on October 22, was passed late on Friday by the National Assembly, as if the clock itself were complicit. 🕰️

Lawmakers Advance Amendment Targeting Wealth Outside Real Economy

The change, a close vote through the country’s lower house, was 163-150-a narrow margin, yet resolute. The measure, a curious alliance of socialist and far-right MPs, sends a message as clear as a bell’s chime. Thus, crypto is now par with an unproductive reserve, a relic of excess. 🧾

Related Reading: France Expands AML Checks on Crypto Exchanges, Including Binance | Live Bitcoin News

However, this instrument still has to pass through the rest of the parliamentary process. Specifically, there are lawmakers who are trying to get the 2026 national budget approved. Therefore, the amendment is up for a vote in the senate first and then becomes law. Hence, its final implementation is not yet clear. A dance of uncertainty, as if the future itself were a stock market. 📉

The reform, a grand ode to investment, aims to promote assets that directly support economic activity. This means, on the other hand, that it is discouraged to build up wealth in “unproductive” assets. Therefore, this measure is designed to eliminate an existing inconsistency. A paradox, perhaps, but one that echoes through the halls of power. 🧠

In fact, Matteii, with a poet’s tongue, pointed out that other assets were not taxed in earlier time periods. For instance, gold, coins, yachts, and art were not counted. However, these assets are not productive of jobs or innovation. Thus, the reform aimed at redressing this historical injustice. This unproductive capital is valued at no more than EUR 2 million. A threshold as arbitrary as the moon’s phases. 🌙

Crypto Industry Warns Measure Could Force Sales and Tax Unrealized Gains

The proposed tax, a 1% flat tax for every year, is a siren call to the crypto community. Specifically, this tariff applies to the amount of assets above the euro two million limit. In addition, the measure would impact owners of cryptocurrencies. This includes capital assets that have shown value increase but have not been sold. Thus, it would be able to tax unrealized gains each year. A tax on dreams, perhaps? 🧠

What is more, this is a major departure from the current law. Specifically, only the capital gains are taxed under the current law when converted to fiat currency. As a result, non-active traders are assessed a 30% flat tax on gains realized. Crypto-to-crypto trades are, at the moment, not taxable. A loophole, or a mercy? 🤷‍♂️

Therefore, there have been serious concerns in the cryptocurrency industry in France. Specifically, they say that the measure is unfairly directed against savers. In addition, it penalizes investors who hold crypto as a store of value. Eric Larchevoux, co-founder of Ledger, warned against the proposal, as if the very air were charged with tension. 🧾

Indeed, Larchevoux said the measure punishes savers. Specifically, they would like to tie their money to Bitcoin or gold. In addition, they are doing it to secure their future wealth. As a result, the measure shows a gross ideological mistake. It is a type of taxation that is unfairly directed towards wealth outside of the fiat monetary system. A satire of progress, perhaps? 🤡

Additionally, crypto holders in France may be forced to sell their holdings. In particular, they might have to pay the new tax if they have no other liquid funds. Besides, critics are afraid that the threshold of two million euros could easily be reduced. So, it is still possible that the law will be effective on January 1, 2026. A future as uncertain as a dice roll. 🎲

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2025-11-03 20:56