France’s National Assembly approved Amendment I-3898 to the 2027 budget by 38 votes to 37, with 25 abstentions, proposing to tax gains when cryptocurrency is exchanged for qualifying fiat-backed stablecoins from January 1, 2027. France generally defers tax on crypto-to-crypto transactions until assets are converted to euros or spent, but the amendment would treat eligible stablecoin swaps as taxable sales at the country’s 31.4% private crypto-profit rate. Nicolas Sansu, the left-wing lawmaker behind the measure, argued that investors should not be able to defer tax simply by moving Bitcoin gains into dollar-backed tokens. The government opposed the plan, citing the difficulty of tracking such transactions. The vote comes as demonstrations over teachers, wages, public services and household bills spread across France, with more than 2,500 people taken into custody after unrest, Reuters reported. The proposal remains subject to further parliamentary scrutiny before the budget can become law.