Cryptocurrency growth means European Union countries could gain billions in tax revenue by fully capturing crypto capital gains, EU lawmakers heard Tuesday.
Realized capital gains in the EU just from Bitcoin—which represents about half the market value of cryptocurrencies—were 3.6 billion euros ($4.2 billion) in 2020, implying capital gains tax revenue of about 850 million euros ($984 million), according to figures from fiscal policy researcher Andreas Thiemann.
However, because of the “pseudo-anonymity” of cryptocurrency data, tax authorities lack “the full picture” on crypto transactions, and it is unclear to what extent crypto capital gains are taxed, said Thiemann, who works ...