French National Assembly adopts amendment to tax crypto-to-stablecoin swaps from 2027

France's National Assembly on Oct. 16 adopted an amendment to the 2027 budget bill (I-3898) that would tax gains when crypto assets are exchanged for stablecoins. Under current French rules, individuals pay tax when they sell crypto for euros or other legal tender or use it to pay for goods and services, while crypto-to-crypto swaps get a tax deferral. The amendment removes stablecoins that qualify as e-money tokens under EU rules from that deferral and would apply to transactions from Jan. 1, 2027.

Swaps into stablecoins lose their tax deferral

Article 150 VH bis of France's General Tax Code taxes individuals' gains on crypto disposals but defers tax on exchanges of one crypto asset for another. That is why someone who converted bitcoin into a dollar stablecoin owed nothing at that point, even on a profit. The amendment says the deferral no longer applies when the asset received is an e-money token as defined under the European Union's Markets in Crypto-Assets Regulation (MiCA). E-money tokens are stablecoins designed to track the value of a single official currency.

The amendment was led by lawmaker Nicolas Sansu and co-signed by 16 other deputies. Its explanatory statement said that, through a gap in the law, gains realized by converting into fiat-backed stablecoins go untaxed. It added that stablecoins can be perfectly ordinary investment vehicles, since they can be used to make payments or buy other crypto assets. The statement also noted that the U.K. and Italy have already legislated along the same lines.

From whole-portfolio to per-asset gains

The amendment also changes how gains are calculated. The current formula, set out in the guidance for French tax form 2086, subtracts from the sale price the portfolio's total acquisition cost multiplied by the sale price divided by the portfolio's total value. Whichever coin is sold, the entire crypto holding is treated as one pool. In the guidance's example, a person who bought €1,000 of crypto in January and sells €450 when the portfolio is worth €1,200 records a gain of €75 (450 − 1,000 × 450 ÷ 1,200). Which coin was sold plays no part in the calculation. Under the amendment, the purchase price of the coin actually sold would be subtracted, using a weighted average price for the same coin bought at different prices.

For coins bought before 2027, taxpayers would choose one of two methods. They could use each coin's actual purchase price, backed by evidence, or spread the portfolio's total cost as of Dec. 31, 2026, across their coins in proportion to their value on that date. The choice would be made once for the whole portfolio, when first reporting a taxable sale made on or after Jan. 1, 2027, and could not be reversed.

Floor vote nine days after committee, final approval still pending

An amendment with the same wording (I-CF1826) was first adopted by the National Assembly's finance committee on Oct. 7. Sansu and his co-signers then refiled it for the floor as I-3898, which was adopted on Oct. 16. Assembly records show the bill is at its first reading. According to French crypto outlet Cryptoast, the Assembly is scheduled to hold a single vote on the revenue part of the budget on Oct. 20. Once the Assembly finishes its first reading, the bill moves to the Senate.

Sansu and his co-signers also filed an amendment (I-CF1822) to bring crypto assets under France's exit tax, which the finance committee adopted on Oct. 8. It would tax unrealized gains on crypto holdings worth more than €800,000 when a taxpayer moves their tax residence out of France. Its explanatory statement said securities such as shares are already subject to the exit tax, while directly held crypto assets are not.

The current rate is a flat tax made up of 12.8% income tax plus social charges. French bank LCL said that with social charges rising to 18.6% in 2026, the combined rate on capital income, including crypto gains, went from 30% to 31.4%. According to the tax form guidance, no tax is due if total sales in a year do not exceed €305.

Tether turned over 61.8 billion won on Upbit in a day

The rules apply to individuals whose tax residence is in France. Stablecoin trading is also active on South Korea's won-denominated crypto markets. As of 12:35 p.m. KST on Oct. 17, Tether (USDT) traded at 1,348 won and USD Coin (USDC) at 1,349 won on South Korean exchange Upbit. Tether's 24-hour trading value was about 61.8 billion won, roughly in line with bitcoin's (about 65.3 billion won) at the same time.