Bitcoin News Update: France’s Cryptocurrency Tax Raises Concerns Over Capital Outflow as Opponents Argue Investors Are Being Punished
- France's National Assembly passed a 1% tax on "unproductive wealth" over €2M, including crypto, to boost productive investments. - The law reclassifies crypto, gold, and art as non-productive assets, raising the wealth threshold from €1.3M to €2M. - Critics warn it penalizes savers seeking stability in Bitcoin, risking forced asset sales and capital flight to EU crypto-friendly zones. - The amendment now awaits Senate approval for 2026 implementation, reflecting France's shift to integrate crypto into tr
France to Impose Tax on Major Crypto Assets as 'Idle Wealth'
The French National Assembly has
This amendment, put forward by Centrist MP Jean-Paul Matteï, reclassifies items like gold, artwork, yachts, and cryptocurrencies as "idle" if they do not have a direct impact on economic development. Only those whose idle wealth exceeds 2 million euros will be subject to the flat 1% tax on the surplus, raising the threshold from the earlier 1.3 million euros. This differs from France’s existing progressive real estate wealth tax, which starts at 0% for assets under 800,000 euros and rises to 1.5% for holdings above 10 million euros.
Opponents, such as
This legislative change is in line with ongoing European Union efforts to standardize digital asset regulations, but it has raised concerns about potential capital outflows. The French Banking Federation warns that the new tax could prompt investors to move their funds to EU countries with more favorable crypto policies. Financial experts estimate that as many as 50,000 people could be impacted, based on wealth data from 2024.
Although the amendment has passed the National Assembly, it still requires Senate approval to be included in the 2026 budget. Proponents expect the measure to take effect by January 1, 2026, if current progress continues. This policy marks a notable change in France’s approach to taxation, bringing digital assets under the umbrella of traditional wealth taxes.
:
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
You may also like
Ethereum News Update: Individual Investors Accumulate ETH Despite Institutional Withdrawals and Market Turmoil
- Ethereum (ETH) dropped below $3,400 on November 4, triggering $1.1B in liquidations and erasing 2025 gains. - Whale activity included a $24.48M short-covering move and $386M ETH transfer, signaling potential market bottom. - Bitcoin neared $100,000 as ETH/RSI hit oversold levels, while retail traders defied institutional exits to accumulate ETH. - Macroeconomic pressures and leveraged position unwinds drove the selloff, though some analysts highlight dip-buying opportunities.
XRP News Today: XRP's Strategic Phases: Functionality, Confidence, and Market Flow Propel Institutional Integration
- Ripple's Monica Long outlined XRP's strategic focus on institutional integration, technical innovation, and expanding DeFi use cases via a new lending protocol. - The XRP Ledger's asset-backed lending framework aims to attract institutional investors while RLUSD stablecoin enables instant cross-border aid payments. - India's Madras High Court recognized XRP as legal property, aligning with global trends and enhancing institutional trust in digital asset ownership rights. - Global firms hold $11B in XRP a
Compliance and artificial intelligence propel NewFire's Bitfire to the forefront of digital asset innovation
- NewFire launches Bitfire, a digital asset platform integrating compliance, AI, and blockchain to address global market demands. - Competitors like Utoch (MSB registration) and Poain (AI-driven risk models) highlight rising industry focus on regulatory alignment and intelligent automation. - Market forecasts project $6.1B in compliance-AI opportunities by 2025, while Hong Kong's bond slump underscores macroeconomic challenges for digital asset platforms. - Bitfire aims to leverage AI for dynamic asset all
GIGGLE's Rapid Ascent Sparks Discussion While Giggle Academy Denies Any Association
- GIGGLE, a BNB Chain memecoin, surged to $130M market cap before crashing, sparking debates over its legitimacy amid Giggle Academy's disclaimers. - Binance pledged to donate 50% of GIGGLE trading fees to Giggle Academy's charity, raising concerns about exchange influence on token valuations. - Analysts warn memecoins' extreme volatility risks retail investors, while regulators scrutinize compliance with securities laws following SEC's memecoin crackdown. - The token's trajectory mirrors Dogecoin's, highl
Trending news
MoreCrypto prices
More
