Key facts
- The bill allows for automatic exchange of crypto transaction data between international tax authorities.
- The crypto agreement is based on the OECD's Crypto-Asset Reporting Framework (CARF).
- France's 2025 Finance Act already introduced crypto reporting obligations via DAC8.
- A proposed measure would make gains from conversions into certain fiat-pegged stablecoins taxable from Jan. 1, 2027.
- Concerns exist regarding data security and the potential for "wrench attacks" on crypto holders due to shared information.
The French Senate has passed a bill that will enable tax authorities to automatically exchange cryptocurrency transaction data with their international counterparts. This initiative aligns with the OECD's Crypto-Asset Reporting Framework (CARF) and aims to bolster global tax compliance for digital assets. France has already implemented crypto reporting requirements through the 2025 Finance Act, which mandates crypto service providers to report customer and transaction data to tax authorities. These authorities then share the information with relevant EU countries. Concerns have been raised by Faustine Fleuret of Morpho regarding data security and the potential for physical attacks on crypto investors, citing a rise in "wrench attacks" globally, with France accounting for a significant portion. The European Commission plans to establish a central repository for crypto reports by the end of 2026, which Fleuret warns could become a single point of failure.