French lawmakers have approved a controversial amendment that could reshape how cryptocurrencies are taxed in the country. Under the new proposal, large crypto portfolios would be classified as “unproductive wealth” — assets that do not contribute to economic growth and should therefore be taxed.

The proposal targets wealthy investors

The amendment was introduced on October 22 by centrist MP Jean-Paul Matteï. It passed the National Assembly by a narrow margin of 163 to 150 votes, supported by both socialists and the far right. To become law, it must still be approved by the Senate as part of the 2026 budget debate.

Matteï argued that the current wealth tax system is “economically inconsistent,” as it excludes many unproductive assets such as gold, art, yachts, and cryptocurrencies. The goal, he said, is to promote “productive investments” that contribute to “the dynamism of the French economy.”

Cryptocurrencies on the list of “unproductive assets”

If passed, the law would classify non-yielding real estate, valuable collectibles, aircraft, gold, and digital assets as taxable “unproductive” wealth. The tax would apply only to assets worth over €2 million (around $2.3 million).

The calculation method would also change: a flat 1% tax would be applied to all wealth above that threshold. Currently, the system is progressive — assets under €800,000 are tax-free, while holdings over €10 million are taxed at up to 1.5%.

Criticism from the crypto community

The proposal immediately sparked backlash among French crypto enthusiasts. Éric Larchevêque, co-founder of hardware wallet maker Ledger, called it “a punishment for everyone who wants to secure their future through gold or bitcoin.”

He warned that the measure sends a dangerous political signal: “Cryptocurrencies are being equated with unproductive reserves that do not serve the real economy. That’s a major ideological mistake.”

Larchevêque added that the €2 million threshold could later be lowered, affecting more investors. “Even though the bill still has to go through the legislative process, it could take effect as early as January 1, 2026,” he said.

France as a test case for Europe?

If adopted, France would become one of the first European countries to formally label cryptocurrencies as “unproductive wealth.” The move could set a precedent for other EU nations exploring how to regulate and tax digital assets amid rising market valuations.

Sources:

https://www.assemblee-nationale.fr/dyn/17/amendements/1906A/AN/3379

https://x.com/EricLarch/status/1984551746971095345

https://cointelegraph.com/news/french-mps-ok-measure-tax-crypto-holdings-unproductive-wealth