French Senate Approves Bill for Automatic Crypto Tax Data Sharing

The French Senate has adopted a bill authorizing the automatic exchange of crypto-asset tax data with foreign tax authorities. The bill passed its first reading on Tuesday and now sits with the National Assembly as Bill no. 2, no. 3421, awaiting consideration before it can become law.

The legislation covers two things: a new agreement on exchanging crypto tax information and an update to an existing agreement on financial account information. The crypto portion builds on the Crypto-Asset Reporting Framework, or CARF, developed by the Organisation for Economic Co-operation and Development. CARF sets common standards that participating jurisdictions use to collect and automatically swap information on crypto transactions.

France is not starting from scratch. The 2025 Finance Act already introduced crypto reporting obligations by implementing DAC8, the crypto reporting amendment to the European Union's Directive on Administrative Cooperation. Under those rules, crypto service providers must report customer identities and transaction data to tax authorities, which then share the information with authorities in users' EU countries of residence.

What does this change for French crypto users?

In practice, the Senate bill extends what DAC8 started. Data would flow not just within the EU but to any jurisdiction signed on to CARF-style exchange agreements. For French residents holding assets abroad, or foreign residents trading through French platforms, tax authorities on both sides would see the same records automatically. The operational burden lands on crypto service providers, who must keep reporting pipelines compliant across multiple jurisdictions.

Lawmakers are moving on a second front too. The National Assembly adopted an amendment on Oct. 16 that would make gains from conversions into certain fiat-pegged stablecoins taxable from Jan. 1, 2027. That measure is not law yet. Debate on the 2027 budget's revenue section resumed Tuesday, with a vote scheduled for Nov. 3.

A data security debate runs alongside the reporting push

The European Commission plans to create a central repository for crypto reports by the end of 2026. Each member state's tax authorities would access information concerning its own tax residents.

Faustine Fleuret, global head of public affairs at lending protocol Morpho, told Cointelegraph the arrangement raises data security concerns because it involves sharing names, addresses, tax numbers and transaction volumes between EU tax authorities.

"In a country where crypto holders have been physically targeted, a leaked list of who trades what, and for how much, is not only a privacy issue but first and foremost a safety issue," Fleuret said. She warned that centralizing the information could create a "single point of failure" for sensitive crypto transaction data.

The concern is not abstract. France accounted for 33 of the 52 verified wrench attacks worldwide during the first half of 2026, according to blockchain security company CertiK. In one March incident, criminals posing as police officers robbed a French couple in their late 50s of roughly $1 million worth of Bitcoin.

The bill now moves through the National Assembly. If it clears that chamber, France's crypto reporting regime plugs directly into the international CARF network, with the EU's central repository expected to follow by the end of 2026.