Crypto Overview in Réunion

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 and Regulatory Framework

Cryptocurrency Status

Réunion is a French overseas department (DROM) and an EU outermost region under Article 349 of the Treaty on the Functioning of the European Union. French and EU financial law apply in full, with no crypto-specific carve-outs. Crypto-assets are classified as intangible movable property under Ordinance 2024-936 of 15 October 2024 and Article L.54-10-1 of the Code monétaire et financier. They are not legal tender. The earlier domestic Loi PACTE 2019 regime, which created the Digital Asset Service Provider (DASP / PSAN) registration, has been superseded by the EU Markets in Crypto-Assets Regulation (MiCA, applicable from 30 December 2024), supplemented by Ordinance 2024-936, Decree 2025-169 of 21 February 2025 and Law 2025-391 of 30 April 2025, which also created a dedicated pledge regime for crypto-assets.

Tax Treatment

Individuals pay tax on crypto disposals under Article 150 VH bis of the General Tax Code. The default flat Prélèvement Forfaitaire Unique (PFU) is 31.4% since 1 January 2026 (12.8% income tax and 18.6% social contributions, after the PLFSS 2026 raised the CSG by 1.4 percentage points). A taxpayer may instead elect the progressive income-tax scale.

Several long-standing features remain. Crypto-to-crypto trades are not a taxable event since 2019: tax only triggers on conversion to fiat or use to buy goods or services. Total annual disposals under €305 are exempt. Losses can only offset same-year gains. Professional traders (assessed qualitatively since the 2023 reform rather than by volume thresholds) fall under the BNC regime, with combined rates up to 45% income tax plus the exceptional contribution on high incomes. Mining is always BNC; staking is generally treated as BNC when recurrent.

DAC8 reporting has been transposed via the Finance Act 2025 and applies to crypto-asset service providers from 1 January 2026. Foreign-held crypto accounts must be declared on Form 3916-bis.

Regulatory Oversight

The Autorité des marchés financiers (AMF) authorises Crypto-Asset Service Providers (CASPs) and supervises market conduct. The Autorité de contrôle prudentiel et de résolution (ACPR), housed at Banque de France, regulates banking, payment and e-money activity, AML/CFT and acts as the competent authority for asset-referenced tokens and e-money tokens under MiCA Titles III and IV. The Banque de France itself runs wholesale CBDC work via IEDOM in Réunion’s case. Tracfin is the financial intelligence unit, and DGFiP is the tax administration.

Business Environment

Banking Relationships

Réunion’s banking sector mirrors metropolitan France: Caisse d’Épargne CEPAC and Banque de la Réunion (both BPCE group), Crédit Agricole Réunion, BNP Paribas Réunion and BFCOI cover the retail and SME market. The Institut d’émission des départements d’outre-mer (IEDOM), a wholly-owned subsidiary of Banque de France, provides delegated central-bank services from Saint-Denis. Account opening for crypto-related businesses is cautious, same de-risking patterns as the mainland, but possible, especially with a CASP authorisation in hand.

Innovation Support

France has not implemented a dedicated regulatory sandbox; the ACPR and AMF run a joint Fintech-Innovation hub that provides informal pre-application guidance. At the local level, French Tech La Réunion was the first French overseas “Capitale French Tech” cluster and in 2025 joined three other Indian Ocean French Tech hubs in an alliance, but it is a general innovation network rather than a crypto-specific programme. Réunion does not offer any DROM-specific tax or licensing derogation for crypto businesses.

Crypto License in Réunion

PSAN registration closed to new entrants on 30 December 2024. Existing PSANs have a transitional period until 1 July 2026 to obtain MiCA CASP authorisation, after which unlicensed activity carries criminal penalties of two years’ imprisonment and a €30,000 fine. Capital requirements are €50,000 for Class 1, €125,000 for Class 2 and €150,000 for Class 3, paid up at a French credit institution. EU passporting is unlocked once CASP authorisation has been obtained. The AMF’s review benchmark is 25 working days for completeness plus 40 working days for substantive assessment.

Market Characteristics

Adoption Patterns

Retail adoption is in line with metropolitan France. Residents access European-licensed exchanges, brokers and crypto exchange-traded products listed on Euronext Paris. Spot Bitcoin and spot Ether single-asset ETFs are not authorised under French UCITS rules, but ETPs and ETNs serve as the practical equivalent.

Industry Focus

Most regulated crypto activity sits in metropolitan France or Paris specifically, where the bulk of CASP applicants are established. Réunion’s role is primarily as a residential market plus a small SME and service-provider community, supported by an Indian Ocean tech corridor that includes the SAFE, METISS and IOX submarine cables and a 24/7 time-zone offset of UTC+4 from EU markets.

Regulatory Evolution

Réunion’s framework will continue to track the EU calendar: the second wave of MiCA secondary legislation, the Travel Rule’s enforcement record under the Transfer of Funds Regulation, and the European Central Bank’s preparation phase for the digital euro (with a decision targeted for late 2026) are the dominant variables. Banque de France’s wholesale CBDC work, including the DL3S platform and the Eurosystem Pontes interoperability service planned for late 2026, will also affect settlement infrastructure available to local participants.