France Reduces Cryptocurrency Tax

France Reduces Cryptocurrency Tax

In major news across crypto corridors; France’s State Council of taxation has announced that it would reduce the financial fines imposed on profits on virtual coins like Bitcoin and others.

With this new move, the organization is looking forward to a huge tax plummet from its current figure of 45% to about 19%, which would be an across the board flat. This could signal a lot of things, but one that is apparent is that France could be more than ready to implement the digital, and decentralized financial future.

A Revolution is Finally Here

2018 has been one of the most active years for France. While delivering a speech just a month ago, France’s Minister of Finance, Bruno Le Maire forecast a revolution that would come soon. At this time, Bitcoin was the single precursor.

He had also foreseen a number of opportunities that would only be opened by the introduction of the Blockchain technology. He cited the Initial Coin Offerings that would come to assist the startups in raising funds through tokens. That is exactly what has come to pass.

The main work of Blockchain, as foreseen back then, was to come up with a network of trust that could work without any kind of intermediaries. It has also provided maximized traceability of the transactions, and, generally makes the economy more efficient.

Bruno Le Maire stated that blockchain is one of the technologies that has set off a new wave of enthusiasm from the traders of the world’s largest Cryptocurrency; Bitcoin.

Taxation Amendments for the Crypto Market

The Republic of France has kept taxation on major Cryptocurrency gains such as Bitcoin at almost half. This has been the norm for more than four years. However, with this new move, there seems to be a kind of softening in this line. The enthusiasts’ pushback has been reacted to by the regulators who now want to lower the current 45% rate to 19%, which is nearly its half.

The Beginning of Good News

Those who have been following the happenings in this market, especially in the European region would tell when this move began. It can be traced to the beginning of 2017 when a 39 old Emanuel Macron was elected to be the Chief Executive of this great country.

Whereas the French ecosystem does not have any kind of political loyalty or affiliation, the new president gave the first motivating signal back then.

This happened when he willingly accepted to be taken on a camera with a cold storage wallet. This showed how he had certain familiarities with this new technology, even as his PR team termed it a publicity stunt.

Potential First Quarter

For the first four months of 2018, France has shown so much interest in the world of Cryptocurrency. The whole move began with the appointment of the market’s mission leader. This was a means of undertaking a global consensus regarding laws that govern the operation virtual currencies. This was strategically planned to be held right ahead of a G20 Meeting that was held in Argentina.

That was later followed by the cracking down of the Cryptocurrency derivatives. It did not take a month before the country published warnings concerning 15 illegal platforms and exchanges. This is what has led to the current happenings.

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