French Crypto Tax Underreporting Exceeds 90%, Chainalysis Warns

France is on track to hit $9.4 billion in taxable cryptocurrency activity by 2025, according to Chainalysis estimates.

This estimated figure significantly surpasses what French taxpayers actually reported, with just €368 million declared for the 2024 income year.

The discrepancy highlights a systemic underreporting problem, with only about 24,000 individuals reporting gains last year.

Chainalysis Director François Volpoet pointed to these trends as evidence of widespread non-compliance, which is in line with the company's global analysis that estimates over $457 billion in potentially taxable on-chain activity worldwide in 2025, with only around 14% expected to comply with emerging reporting frameworks.

The upcoming DAC8 directive will require crypto service providers operating in EU member states to collect user data and transaction records, but even then significant gaps remain, particularly for self-custody wallets and peer-to-peer transactions that don't involve a middleman.