EU Commission mulls 0.1% crypto tax to raise €3-4bn

The European Commission is considering a new tax on cryptocurrency transactions as part of its search for revenue to fund the bloc's next long-term budget. An internal document circulated on May 30 outlines a proposal for a 0.1% levy on crypto trades across the European Union, a measure projected to generate between 3 billion and 4 billion euros annually.

The proposal presents two potential approaches. The primary option is the transaction tax. An alternative, a capital gains tax on crypto profits, is estimated to raise a smaller amount, between 1 billion and 2.4 billion euros per year. These measures are not standalone; they form part of a broader revenue package for the 2028-2034 EU budget period, which also includes levies on digital services and online gambling. The full package is estimated to yield roughly 20 billion euros over that seven-year cycle. These new streams would function as "own resources," meaning funds that flow directly into the EU's central budget rather than being collected by national governments first.

Officials acknowledge significant hurdles to implementation. Any such tax proposal would require unanimous approval from all 27 EU member states, a...