France has been very active recently on the cryptocurrency front. The Minister of France, Bruno Le Maire has recently argued that “A revolution is underway, of which bitcoin was only the precursor. The blockchain will offer new opportunities to our startups, for example with the Initial Coin Offerings (ICO) that will allow them to raise funds through ‘tokens,’ crypto-actives or not. It promises to create a network of trust without intermediaries, to offer increased traceability of transactions and, overall, to make the economy more efficient,”. This has given Bitcoin followers a new push in their favor.
For the last four years, the taxation on bitcoin core as well as the cryptocurrency capital gains have been on the higher end at nearly half. This appears to be changing as the rates have decreased to 19%. This is a more than 50% decrease in the current rate. This move is in part a response to the push from the cryptocurrency enthusiasts of the country
The freshly elected Emmanuel Macron has been positive towards cryptocurrency in the past. He had even been photographed with a cold storage wallet. This was later revealed to a publicity stunt however, it was still a good sign for the community.
France has been particularly vocal about cryptocurrency and it’s regulation this year, and they even tried but failed to bring it up in the G20 talks earlier this year. Despite their attempts they were unsuccessful. Shortly after, French minders cracked down upon crypto derivatives, and would a month later publish warnings about 15 “unauthorized” exchanges and platforms.
French Bitcoiner took their case to the High Administrative Court in a reaction to the words of the minister of Finance. The court then ordered cryptocurrencies such as bitcoin be reclassified as property, which then lead to lower taxation Profits derived from mining, however, are to remain under the banner of capital gains, as they’re considered purely commercial activities.