News View Non-AMP

France’s New “Unproductive Wealth” Tax Could Hurt Bitcoin – Here’s How

Published by
Mustafa Mulla

France is shaking up the crypto world by considering a new tax on “unproductive wealth.” This includes Bitcoin, along with luxury assets like yachts, private jets, and high-end cars. So, what does this mean for Bitcoin’s price? Will this new tax make cryptocurrency less appealing to investors?

With the proposal still under discussion, the implications could be huge.

A New Tax on “Unproductive Wealth”

The French government is considering a new tax on assets that don’t generate income—referred to as “unproductive wealth.” This includes Bitcoin, along with luxury goods like private jets, yachts, and luxury cars. Wealthy individuals have traditionally used these types of assets to preserve and grow their wealth.

But this new proposal aims to change that by imposing a tax burden on them.

Why the Government Wants the Tax

The idea behind this tax is straightforward: assets that don’t directly contribute to the economy or produce income should be taxed more. Since Bitcoin doesn’t generate income, it falls into this category.

How Will This Affect Bitcoin?

This proposal has caused controversy, with many arguing it could reduce investment in both digital assets like Bitcoin and traditional luxury items. If the tax goes through, it could make holding these assets more expensive for French citizens, potentially reducing interest in them.

Taxing Bitcoin could reduce demand, as investors might be reluctant to buy or hold the asset if they face an added tax burden. In the short term, this could lower liquidity and cause Bitcoin’s price to drop. However, it could also lead to more regulation of Bitcoin in other countries, which might impact the global market.

Bitcoin Price Performance

In November Bitcoin achieved a historic monthly gain, adding $26,400 to its value and closing at an impressive $96,400. Although it is currently trading at $95,360, the cryptocurrency has shown exceptional resilience, supported by strong market dynamics. 

While Bitcoin has not yet broken the $100,000 mark, it remains close to its recent record high of over $99,000.

The road ahead may be rocky, but Bitcoin’s ability to adapt will never stop surprising!

Mustafa Mulla

Mustafa has been writing about Blockchain and crypto since many years. He has previous trading experience and has been working in the Fintech industry since 2017.

Recent Posts

Here’s When Altcoins Like XRP, ADA and DOGE Will Rally

The crypto market is consolidating after a strong rally earlier this week, with Bitcoin holding…

April 25, 2025

Best Crypto to Buy Now as XRP Price Rallies

The XRP price rally has created fresh momentum in the crypto market, as Bitcoin moves…

April 25, 2025

2 Best Cryptos To Buy Under $0.50 That Analysts Say Could Skyrocket in 2025

In a market known for rapid moves and unpredictable trends, finding cryptocurrencies under $0.50 with…

April 25, 2025

Ripple XRP Price Prediction 2025, 2026-2030: Will XRP Reach $5?

Story Highlights The XRP Price LIVE: . The price could hit a high of $3.99…

April 25, 2025

Binance CZ Urges Govt to Take a More Relaxed Approach to Crypto, Here’s Why!

After running the biggest crypto exchange in the world, Binance’s Changpeng Zhao (CZ), who has…

April 25, 2025

Ethereum Price Prediction 2025, 2026 – 2030: ETH Bull Run to Start in May?

Story Highlights The Ethereum price today is . ETH price with a potential surge could…

April 25, 2025