France proposes new taxes on cryptocurrency-to-stablecoin exchanges

The French National Assembly has moved toward significant changes in the taxation of cryptocurrency assets. Legislators have adopted amendments that would treat the exchange of cryptocurrencies for stablecoins as a taxable event. Previously, taxation was primarily triggered by conversions into fiat currencies like euros or dollars. Under the proposed framework, swapping Bitcoin for a stablecoin—a common strategy used by traders to secure gains without exiting the crypto ecosystem—would constitute a taxable disposal.

One reported proposal suggests a tax rate of 31.4% on these Bitcoin-to-stablecoin exchanges. Additionally, the legislative developments include the rejection of an amendment that would have allowed for the carryover of capital losses over a ten-year period. Other considerations under discussion include potential requirements for investors to declare digital wallets containing more than 100,000 euros in assets. These measures represent a shift toward a more stringent fiscal environment for crypto holders in France.