France Advances Crypto Wallet Reporting and Stablecoin Rules

French lawmakers and central bank officials are intensifying oversight of the cryptocurrency sector, advancing measures to mandate reporting of self-hosted digital asset wallets and urging stricter European Union rules on stablecoins pegged to non-euro currencies.

The French National Assembly approved a provision on April 7 as part of an antifraud bill that would require taxpayers to annually report holdings in self-hosted crypto wallets exceeding 5,000 euros in value. The measure aims to enhance transparency for assets held outside regulated platforms, with penalties for noncompliance modeled after those for unreported foreign bank accounts. While the bill has passed the lower house, it awaits review by the Senate and a joint committee before becoming law. Some lawmakers and tax officials have expressed concerns about enforcement challenges and data security risks associated with tracking decentralized wallets.

In parallel, the Bank of France has advocated for reinforcing the EU's Markets in Crypto-Assets (MiCA) regulation to better address risks from stablecoins used in payments. Denis Beau, the bank's first deputy governor, outlined these positions in a speech at the EUROFI...