France's National Assembly adopted Amendment I-3898 on October 16, approving a proposal to tax crypto-to-stablecoin conversions. The amendment passed by a narrow margin, with 38 lawmakers voting in favor, 37 opposed, and 25 abstaining.
Under current French law, swapping cryptocurrencies like Bitcoin for stablecoins does not trigger taxation. If enacted as part of the 2027 Finance Bill, this amendment would change that treatment, making such conversions taxable events.
The amendment also proposes a revised method for calculating capital gains on cryptocurrencies. Assets purchased at different prices would use a weighted-average purchase cost to determine gains when sold or exchanged.
Other Crypto Proposals in Consideration
The stablecoin swap tax is one of several crypto-related amendments being debated in France. On the same day, the Assembly rejected a separate proposal that would have allowed investors to carry forward realized crypto losses for 10 years, with 18 votes in favor and 75 against.
Two additional amendments remain under consideration. Amendment I-CF1822 would extend France's exit tax to cryptocurrency holdings, potentially taxing unrealized gains for individuals with crypto portfolios exceeding €800,000 who relocate abroad. Amendment I-2701 would require disclosure of self-custodial wallet holdings exceeding €100,000 in a given tax year.
The Assembly is scheduled to vote on the first part of the 2027 Finance Bill, which will determine which amendments advance further in the legislative process.
