Netherlands Set to Tax Self-Custody Crypto Gains at 36 Percent

Netherlands officials have announced a new tax policy targeting unrealized capital gains from Bitcoin and other cryptocurrencies held in self-custody. The proposed 36% tax applies uniformly to all crypto assets, regardless of their differing utilities and risks. This policy imposes immediate taxation on paper gains for self-custody holders, while regulated investment routes remain inaccessible to average investors due to a lack of compliant Dutch crypto funds.

The situation creates a significant barrier for retail investors, as only those with a €100,000 entry point can access structures that defer taxation until gains are realized. This discrepancy is expected to widen the gap between individual and institutional investors, potentially driving capital away from Dutch markets and into offshore structures. The policy could reshape the country's crypto market participation patterns, favoring institutional players over retail participants.