The French National Assembly, the lower house of parliament, has approved a significant amendment that aims to redefine and expand the taxation of “unproductive wealth,” a move that would also affect the digital asset sector, including cryptocurrencies.
Key Details of the Proposal
- Expanded Definition:The amendment, introduced by centrist MP Jean-Paul Matteï, significantly broadens the definition of “unproductive goods” to include:
- Non-productive real estate.
- Valuable items like jewelry and private aircraft.
- Digital assets, such as cryptocurrencies.
- This is an expansion of the current property wealth tax, which already includes gold, classic cars, yachts, and artworks.
- Threshold and Rate: The proposed tax would apply to unproductive wealth exceeding a €2 million threshold (up from the current €1.3 million property wealth tax limit). It would impose a flat 1% tax rate on the value of assets above this new threshold, simplifying the current progressive system.
- Rationale: MP Matteï criticized the existing property wealth tax for being “economically inconsistent” as it excludes many unproductive assets. He argues the reform is intended to encourage productive investments that “contribute to the dynamism of the French economy.”
Controversy and Next Steps
The proposal still requires approval from the Senate and the full parliamentary process to become law, but the initial vote signals the fiscal direction France is considering for its 2026 budget.
The amendment has met with strong criticism from the digital asset sector. Éric Larchevêque, co-founder of Ledger, argued that the law would “punish all savers who want to financially anchor themselves in gold and Bitcoin to protect their future.” He raised concerns that crypto holders might be forced to liquidate assets to pay the tax. Larchevêque sees this as an “ideological error” that “reveals a fiscal shift: punishing the holding of value outside the fiat monetary system.” There are also concerns that the €2 million threshold could be lowered in the future.
November 2025, Cryptoniteuae
