French National Assembly passes bill to tax virtual assets

A member of France's National Assembly has passed a bill classifying virtual assets (cryptocurrencies) as 'unproductive wealth' and imposing taxes on large holders.

On the 2nd (local time), according to CoinDesk, centrist lawmaker Jean-Paul Matteï, who proposed the tax amendment on October 22, saw his amendment to the tax code approved by the French National Assembly (Assemblée nationale) with 163 votes in favor and 150 against. Support from Socialist and far-right lawmakers was added. The amendment is scheduled to be included in the 2026 budget and must be reviewed by the Senate to be finalized.

Matteï said the reason for the amendment was that "the current real estate wealth tax economically makes no sense because it excludes unproductive assets such as gold, artworks, classic cars, and yachts," and that "this amendment is a measure to encourage productive investment."

Accordingly, 'unproductive real estate', valuables, aircraft, and 'virtual assets' will be included in the tax base. The taxation threshold was raised from the current net wealth threshold of 1.3 million euros to 2 million euros, and the tax rate was changed to a 1% flat tax.

The local industry strongly opposed the measure. Éric Larchevêque, co-founder of Ledger, pointed out, "This law punishes all investors who hold bitcoin or gold to prepare for the future." He added, "Illiquid investors will have no choice but to sell virtual assets to pay the tax," expressing concern that "the taxation threshold (2 million euros) could be lowered in the future."