Crypto Overview in France

Regulatory data is for informational purposes only and may not reflect the most current legal developments. Always consult qualified professionals before making decisions.

Legal Classification & Regulatory Framework

Cryptocurrency Status

France is one of Europe’s most structured jurisdictions for cryptocurrency and blockchain regulation. Under French law, cryptocurrencies are classified as “digital assets” (actifs numériques) rather than legal tender, securities, or traditional currency. The foundational legal framework came through the PACTE Act (Action Plan for Business Growth and Transformation) of 2019, which provided the first comprehensive definitions and regulatory structures for the crypto-asset industry in France.

The French Monetary and Financial Code (Code Monétaire et Financier) distinguishes between utility tokens, asset-referenced tokens (ARTs), and electronic money tokens (EMTs). Bitcoin and most cryptocurrencies fall within the broader crypto-asset category: digital representations of value that can be transferred, stored, or exchanged electronically without being issued or guaranteed by a central bank.

France aligned its national framework with the EU Markets in Crypto-Assets Regulation (MiCA), applicable from 30 December 2024. MiCA’s three primary categories are now incorporated into French law: asset-referenced tokens, electronic money tokens referencing a single fiat currency, and other crypto-assets including Bitcoin and utility tokens.

Tax Treatment

France applies a well-defined tax framework to cryptocurrency transactions. For occasional individual investors, capital gains from crypto disposals are subject to a flat tax (Prélèvement Forfaitaire Unique, PFU) of 30%, comprising 12.8% income tax and 17.2% social charges. This applies when crypto is converted to fiat currency or used to purchase goods and services.

A key feature of French crypto taxation is that crypto-to-crypto exchanges are not taxable events. Investors can move between cryptocurrencies without triggering a tax liability; taxation applies only when converting to fiat. Annual gains below €305 are exempt.

Since 2024, taxpayers may opt for progressive income tax rates (0-45%) in place of the flat 12.8% income component, though 17.2% social charges still apply regardless. This option can benefit investors whose marginal rate falls below 12.8%.

Professional traders and those conducting crypto activities under professional conditions are taxed as non-commercial profits (Bénéfices Non-Commerciaux, BNC) at progressive rates up to 45%, plus professional social charges. Mining rewards are similarly treated as BNC, taxable at fair market value on receipt. French residents must declare foreign platform accounts via Form 3916-bis and report capital gains through Forms 2042, 2042-C, and 2086.

Regulatory Oversight

France uses a dual-regulator model. The Autorité des Marchés Financiers (AMF) is the primary financial markets authority: responsible for PSAN registration, the optional agrément licence, and now MiCA CASP authorisations. The AMF maintains a public registry of authorised and registered entities.

The Autorité de Contrôle Prudentiel et de Résolution (ACPR), embedded within the Banque de France, handles prudential supervision. The ACPR is the competent authority for electronic money token (EMT) issuers and oversees AML/CFT compliance on the banking side. Together, AMF and ACPR are France’s co-competent authorities under MiCA.

Tracfin, France’s financial intelligence unit, enforces AML/CFT and has monitored crypto transactions since 2011. Registered and authorised crypto firms must report suspicious transactions to Tracfin and maintain a designated compliance officer. The Direction Générale des Finances Publiques (DGFiP) administers the crypto tax regime.

Business Environment

Banking Relationships

France addressed banking access for crypto businesses through the PACTE Act, which requires credit institutions to apply objective, non-discriminatory, and proportionate criteria when opening accounts. Registered PSANs cannot be arbitrarily refused banking services. When a bank refuses, it must communicate reasons to the applicant and to the AMF and ACPR. Silence for more than two months from a complete application constitutes a refusal, which can be appealed.

Practical challenges remain: some banks apply additional compliance scrutiny to crypto businesses. Regulatory clarity under MiCA has improved conditions. Société Générale has engaged the sector through SG-FORGE, its regulated crypto subsidiary, demonstrating that large French banks are prepared to extend infrastructure to compliant crypto operators.

Innovation Support

France has built a substantive fintech and blockchain innovation infrastructure. The AMF and ACPR jointly operate a Fintech-Innovation Hub offering personalised regulatory guidance, training, and engagement for crypto businesses preparing for MiCA authorisation. The Banque de France runs “Le Lab,” an innovation unit exploring blockchain, artificial intelligence, and CBDC applications in collaboration with startups and research institutions.

The Banque de France has conducted multiple wholesale CBDC trials, testing settlement solutions for tokenised securities and cross-border payments. These experiments position France at the forefront of Eurosystem CBDC development, with the Eurosystem targeting a wholesale CBDC capability by 2026. France also participates in the EU Pilot Regime for DLT-based market infrastructures, and French entities are active in the DLT multilateral trading facility space.

State investment bank Bpifrance has established a dedicated Web3 fund to back venture capital funds focused on blockchain infrastructure, DeFi, NFTs, and gaming. France also introduced an experimental three-year framework for games with monetisable digital objects (JONUMs), supervised by the Autorité Nationale des Jeux (ANJ), covering NFT-based gaming economies.

Crypto License in France

The Autorité des Marchés Financiers (AMF), with the ACPR for prudential oversight of token issuers, is the competent authority for crypto-asset service provider (CASP) authorisation under MiCA in France. The current framework builds on the PSAN regime created by the PACTE Act 2019, strengthened by Loi DDADUE in January 2024, and superseded at the service-provider level by MiCA from 30 December 2024. Firms that held PSAN registration before that date benefit from a transitional regime allowing continued operation until 1 July 2026 while completing the MiCA authorisation process.

Licensing Requirements

Under MiCA, CASPs must meet requirements across four broad areas before the AMF grants authorisation.

Capital: minimum own funds of €50,000 for Class 1 services (advice, reception and transmission of orders); €125,000 for Class 2 services (execution of orders, exchange services); and €150,000 for Class 3 services (custody, operation of a trading platform). Firms may alternatively hold one-quarter of fixed annual overhead if that amount exceeds the class minimum.

Governance and fit-and-proper: management body members must demonstrate good repute and sufficient knowledge, skills, and experience. Governance arrangements must include conflict of interest policies, complaints handling procedures, and adequate internal controls. These requirements were already introduced at the enhanced PSAN registration level under Loi DDADUE (January 2024) as a deliberate bridge toward MiCA.

AML/CFT: CASPs must appoint an AML compliance officer, implement customer due diligence (KYC), and report suspicious transactions to Tracfin. Audit obligations apply to higher-risk activities.

Operational requirements: custody providers must segregate client assets; trading platform operators must publish non-discriminatory participation rules and transparent fee schedules; all CASPs must maintain a client complaints procedure and publish a conflicts of interest policy.

EMT and ART issuers face additional requirements under MiCA Titles III and IV, supervised by the ACPR for prudential matters. Only credit institutions or authorised electronic money institutions may issue EMTs in France, requiring ACPR authorisation rather than AMF CASP authorisation.

Authorised Activities

MiCA CASP authorisation in France covers: custody and administration of crypto-assets; operation of a trading platform; exchange for funds or for other crypto-assets; execution of orders on behalf of clients; placement of crypto-assets; reception and transmission of orders; advice; portfolio management; and transfer services for crypto-assets on behalf of clients.

Authorisation is granted per service class; firms may apply for multiple classes in a single application. Traditional financial institutions already authorised as credit institutions, investment firms, or electronic money institutions may provide certain crypto-asset services through a simplified notification procedure rather than a full CASP authorisation, subject to specific conditions.

Application Process and Timeline

Applicants submit a dossier to the AMF via the dedicated CASP authorisation portal. The AMF has 25 working days to confirm completeness and 40 working days to reach a decision, per MiCA Article 63, giving an indicative 3-month window from a complete file.

The AMF operates a pre-filing support process: applicants can engage informally before submitting a formal application to identify gaps and receive guidance, shortening effective lead time. Firms transitioning from PSAN registration submit a standard MiCA application; PSAN-licensed firms (those with the optional agrément) are eligible for a simplified conversion pathway. The AMF coordinates with the ACPR throughout where services overlap with prudential requirements.

Market Characteristics

Adoption Patterns

France shows strong cryptocurrency adoption relative to other European markets. Bitcoin remains the most widely held crypto-asset among French investors, with a user base skewing toward those under 35. French users are active in decentralised finance (DeFi) applications, contributing to France’s position in global crypto adoption rankings.

Cryptocurrencies are not legal tender in France; merchants may accept them voluntarily. Direct crypto payments at retail remain uncommon, though workarounds such as exchange-issued gift card programmes exist. Institutional adoption has grown: French banks and asset managers increasingly participate in the crypto sector, and regulated exchange-traded products providing crypto exposure are available to French investors.

Industry Focus

France hosts a diverse and growing crypto ecosystem. More than 100 entities have been registered as PSANs under the PACTE regime, making France one of Europe’s most structured markets. The country has attracted major international exchanges seeking EU market access, alongside domestic firms such as Coinhouse and Paymium that predate the PSAN regime.

Institutional-grade services are a particular strength: custody, tokenisation of traditional financial instruments, and regulated stablecoin issuance. SG-FORGE issued EURCV, one of Europe’s first MiCA-compliant euro-denominated stablecoins, while Circle France and Schuman Financial have received authorisation for their own EMT products. Paris and surrounding areas have become centres for blockchain events, including Paris Blockchain Week and the Ethereum Community Conference (EthCC), alongside the annual ACPR-AMF Forum Fintech.

Regulatory Evolution

France’s regulatory trajectory has been consistent: from Tracfin’s first crypto guidance in 2011, through payment service licence requirements in 2014, AML legislation in 2016, to the landmark PACTE Act in 2019. Loi DDADUE in January 2024 tightened PSAN registration as a deliberate step toward MiCA, and MiCA became applicable in France from 30 December 2024.

France actively contributes to shaping European crypto policy. French regulators have presented proposals within EU forums to strengthen the supervision framework while maintaining market competitiveness. Working groups at the Banque de France and ACPR continue to examine regulatory approaches to DeFi, including smart contract certification and governance requirements for decentralised protocols. The transitional regime for legacy PSAN firms closes on 1 July 2026, after which full MiCA authorisation is required for all active CASPs.