France's 31.4% stablecoin tax proposal risks driving crypto activity offshore, warns Chainalysis - CoinDesk

France has proposed a 31.4% tax on stablecoin transactions, a rate that aligns with the country's existing levy on unregulated crypto gains. Chainalysis, the blockchain analytics firm, warns that such a high rate could push activity toward jurisdictions with lighter treatment, reducing the visibility that domestic oversight depends on.

The concern is structural rather than partisan. Stablecoins are widely used as a settlement layer — for trading pairs, remittances and treasury movement — so taxing transfers at this level raises the cost of routine, low-margin activity. If users migrate to offshore venues, French authorities may lose both revenue and the on-chain transparency that makes enforcement practical.

For markets, the proposal matters less as an immediate price driver than as a signal. France has generally positioned itself as a constructive voice in European crypto rulemaking, so a punitive rate could influence how other member states calibrate their own regimes. What to watch: whether the measure advances in its current form, how the industry responds during consultation, and whether similar proposals surface elsewhere in the EU.