French Crypto Professionals Urge Government to Amend Stablecoin Tax Policy

May 19th. A joint article written by several French cryptocurrency industry executives argues that the country’s current stablecoin tax policy is severely outdated. Under existing regulations, converting stablecoins to fiat currency and withdrawing funds to a bank account counts as a taxable event—this practice is trapping significant volumes of crypto assets outside the traditional financial system, resulting in an estimated €1 billion to €3 billion in annual tax losses for France. The piece pushes for urgent action, stating that as AI agents increasingly rely on stablecoins for payments, the French government has just six months to make targeted adjustments to the 2027 Budget Bill. It recommends France follow the framework of other countries, which define exchanges between stablecoins and fiat currency as "tax-free withdrawal" transactions. Industry experts warn that if France misses this critical six-month window, it will likely forfeit major industrial benefits tied to integrating AI and crypto-powered payments.