Cryptocurrency Regulatory News: France Launches Cryptocurrency Reform Bill

Cryptocurrency Regulation News: Executive Security and DLT Provisions

Today's important cryptocurrency regulation news comes from Paris. French National Assembly member Paul Midi has submitted a digital assets bill, signed by 91 members, aimed at filling multiple tax gray areas. Proponents of the bill say these grey areas are currently adversely affecting French digital asset users and businesses. The bill, numbered 3090, allegedly originated from a legislative hackathon organized jointly with the French digital asset industry association ADAN (Association for the Development of Digital Assets).

Cryptocurrency Regulation News: Proposed content of the French bill

According to reports on the text of the bill, its core principles are simple and clear: Taxing events that generate income, rather than simply receiving unrealized assets-the same logic that France already applies to traditional securities. The proposal revolves around three tax-focused measures:

First, airdrop and governance tokens are only taxed when sold, not when received-unlike current rules, which may tax recipients before they have realized any actual benefits. Second, cryptocurrency capital losses can be carried forward into the next 10 years, consistent with the treatment of stock market losses in French tax laws, allowing investors to offset future gains against past losses over a longer window of time than currently allowed. Third, the proposal proposes to exempt cryptocurrency payments up to 1000 euros (approximately US$1139) from income tax each year, thereby reducing the reporting burden on daily digital asset transactions such as small purchases.

None of these measures touch France's current fixed tax rate on cryptocurrency gains, which has risen to 31.4% in early 2026. The proposal was described as a revision of assessment and reporting rules rather than an adjustment to the nominal tax rate itself.

Cryptocurrency Regulation News: Executive Security and DLT Provisions

In addition to taxation, the proposal also addresses an increasingly pressing independent issue in France: the personal security of executives of blockchain asset companies. The proposal would take steps to hide executives 'home addresses from public company registration information and require companies to bear security costs for executives facing credible threats.

This is not the first time Midi has paid attention to this issue-he proposed a bill in June 2025, focusing on anonymizing the home addresses of Web3 entrepreneurs, after a series of attempts to kidnap celebrities in the French Web3 industry. The attempted kidnapping of celebrities attracted national attention. The executive protection provisions in the new bill appear to be directly based on earlier efforts.

It was also reported that the proposal also includes a clause allowing SAS entities, a common form of companies in France, to participate in the EU's Distributed Ledger Technology (DLT) pilot mechanism, potentially expanding the scope of eligibility for French companies to use the EU's existing pilot framework to test blockchain-based market infrastructure.

Cryptocurrency Regulation News: Place in the French Tax Landscape

The bill is at an interesting position in France's broader cryptocurrency tax trajectory. In October 2025, the National Assembly narrowly passed a separate amendment (unrelated to Midi's bill) that would impose an "unproductive wealth tax" at an annual rate of 1%, similar to assets such as gold and yachts, on holdings of large digital assets exceeding 2 million euros. The measure still requires Senate approval and has been sharply criticized by the industry as financially punitive.

In contrast, Middy's bill has been described by supporters as investor-friendly "housekeeping"-aligning tax treatment with the treatment of existing traditional securities rather than introducing a new tax burden. Whether these two measures can coexist, or which direction will win as France's 2026 budget process is finalized, remains to be resolved by further debate in the Senate and the National Assembly.

Conclusion

Today's cryptocurrency regulatory news shows that France is taking two directions on the issue of digital assets-a wealth tax proposal that would impose punitive measures on large digital asset holdings, and a 91-member bill aimed at modernizing airdrop taxation, loss processing and executive safety. Both are pending and all legislative procedures have not yet been completed.

Disclaimer

This document is for information purposes only and does not constitute financial, legal or tax advice. All legislative details are based on public reports of Bill 3090 as of July 25, 2026, and may change as the bill progresses in the French legislative process. The proposal has not yet become law. Be sure to consult official French government sources or consult a qualified tax professional for tax guidance.