From Decrypt · By Ryan S. Gladwin
In brief
French lawmakers have pushed a proposal that will require crypto holders to report holdings equal to or above €100,000 ($112,000), or otherwise face a penalty.
Some crypto holders have spoken out about the planned rule, claiming that it threatens security.
It comes after several crypto-related "wrench attacks," robberies, and kidnappings have taken place in France in recent years.
Lawmakers in France have advanced a proposal that will require crypto holders to report holdings equal to or above €100,000 ($112,000). Otherwise, individuals will face fines up to €10,000 ($11,000).
Some crypto holders are in an uproar over the potential new rule, claiming that it threatens personal security. It comes after several high-profile, in-person crypto robberies have taken place in France.
"This is a terrible idea as corrupt employees in the French tax authority have has already shown themselves to a danger to their own citizens," Harry Halpin, CEO of privacy infrastructure Nym, told Decrypt, referencing a recent case in which a French tax agent was accused of selling data from the French tax authority to criminals.
France should be "held accountable" to victims of crypto kidnappings, Halpin continued. "In the future, criminals will use chain analytics and other AI surveillance," he said, adding that, "The only solution to defend your data and cryptocurrency is to use shielded cryptocurrency like Zcash and actually private VPNs."
This is the same government whose employees sold tax returns of crypto holders to criminals. If you live in france and hold crypto, leave. If you cant leave, hire personal security for you and your family. https://t.co/DKEmJ7S1Fy
— Rand (@randhindi) October 12, 2026
The French National Assembly's Finance Committee adopted the amendment I-CF821 on Friday, which would introduce reporting requirements for crypto assets held in a self-custody wallet. In a self-custody wallet, the owner holds private keys that allow them to fully control the assets inside it, in contrast to non-custodial ownership platforms like centralized exchanges.
The proposal would see a provision added to France's general tax code requiring crypto users to declare holdings equal to or above €100,000 ($112,000), based on the value at the end of the calendar year.
It is important to note that the proposed rule is not law yet and is subject to change.
"If you live in France and hold crypto, leave," Rand Hindi, founder of privacy protocol Zama, tweeted. "If you can't leave, hire personal security for you and your family."
According to the amendment, the new rule is to fight against using cryptocurrency as a vector for fraud, as it claims that crypto ownership is underestimated.