How to Buy Crypto in France

Crypto interest is growing: global companies and ordinary users use it around the world. However, each country has its own legislation and taxation system, which affects the process of purchasing cryptocurrencies.

In today's article, we will take a detailed look at all the available ways to buy crypto in France and explore this topic from the country's legislative perspective.

Is It Legal to Buy Cryptocurrencies in France?

Yes, purchasing cryptocurrency is legal in France. You can buy, sell, and store digital assets. When it comes to trading, crypto platforms must comply with the Know Your Customer (KYC) procedure and Anti-Money Laundering (AML) rules to operate within the legal framework.

It is important to note that the country's legislation strictly regulates the crypto industry. The Monetary and Financial Code does not directly define cryptocurrencies as legal currencies but rather as digital assets. According to Article L54-10-1 of the Monetary and Financial Code, crypto assets are divided into two main categories: tokens and cryptocurrencies. Tokens are defined as “any digital representation of an asset or right”, while cryptocurrencies are equated with unregulated payment means.

According to data from the Bank of France, cryptocurrencies are not legally considered to be:

• a means of exchange (allowing for easy buying and selling in everyday life),

• a unit of account (allowing for easy comparison of prices for various goods and services).

But cryptocurrencies represent a reserve value and can be used for trading and storage for your personal needs.

Ways to Buy Crypto in France

Once you are familiar with all the nuances of the legislation, we can move on to choosing options for purchasing crypto assets. There are many convenient ways to do this in the country, so we suggest that you familiarize yourself with each option in order to choose the one that is most convenient and suitable for your circumstances.

CEXs (Centralized Exchanges)

CEX is an online platform that acts as an intermediary between buyers and sellers. On a centralized exchange, users can trade and exchange cryptocurrency for other digital assets and, in addition, securely store funds on the platform. If you are a newbie in the crypto sphere, pay attention to finding a reliable platform with a user-friendly interface, as a lot of features on the screen can cause you difficulties.

The Cryptomus exchange is an excellent option: thanks to its convenient design, you can find any tab intuitively. The platform also has more than 120 cryptocurrencies for trading and over 40 fiat currencies for wallet deposits, and these numbers are only growing!

• Pros: wide selection of coins, ability to store assets directly on the exchange, strong security.

• Cons: mandatory KYC verification.

P2P Trading

P2P (peer-to-peer) trading is a way to buy cryptocurrency directly from another user. A specialized online platform acts as an intermediary in this transaction, where the cryptocurrency is blocked in escrow and transferred to the buyer only after payment confirmation.The big advantage of this method is the large number of payment options and low fees. For example, the Cryptomus P2P exchange offers over 560 payment options, with fees starting at just 0.1%..

• Pros: you can choose the right seller with the right conditions yourself, low commissions, and many payment options.

• Cons: transaction speed depends on the other party, risk of fraud, it takes time to find a seller.

Step-by-Step Guide: How to Buy Crypto in France

To ensure that your cryptocurrency purchase in France goes smoothly, we have prepared a comprehensive and detailed guide for you. Read it and follow each step to successfully achieve your goal.

Method 1: Through an Exchange

• Step 1: Choose an exchange and register there.

• Step 2: Complete KYC verification.

• Step 3: Make a purchase. Here we will describe in more detail the purchasing process on each platform, and you will select the most convenient option to buy cryptocurrency.

Step 1: Register on the Platform

Choose a crypto platform and create an account there. Registration usually takes only a few minutes. Also, at this stage, set a strong password and enable two-factor authentication (2FA) to protect your data and money from potential hacking.

When choosing a platform, pay special attention to compliance with legal requirements. As we mentioned earlier, for legal trading, the exchange must comply with AML and support the KYC procedure.

Step 2: Complete KYC Verification

After registration, you will need to complete KYC verification. This will give you access to financial transactions on the platform.

To verify your identity, you will first need to take a selfie and then photograph your ID document. Next, upload both files to the platform. Wait for confirmation of completion of the procedure from the moderator.

Step 3: Choose the Most Convenient Way to Buy Cryptocurrency

CEXs

After registering and completing KYC verification, you need to fund your account with euros. You can do this via bank transfer. Once the money is in your account, you can purchase your chosen cryptocurrency. The process is simple: select the desired crypto coin and specify the amount you want to purchase. Next, input your card information and verify the transaction with the 2FA code.

P2P platform

To make a purchase on a P2P platform, first set the necessary filters: the desired cryptocurrency and its amount, the fiat currency for payment (e.g., euros), and select the most convenient option as the payment method.

After setting up the filters, you will see a list of offers from sellers. Select the most suitable one and contact the potential trading partner to discuss the details. We recommend that you only trade with verified sellers to minimize the risk of fraud. If you cannot find a suitable offer in the list, create your own and wait for a response.

Simple Way to Buy Crypto With Your Credit Card

If you are looking for the easiest way to buy cryptocurrency in France, use your bank card. The process is as follows (using Cryptomus as an example).

Step 1: Register on Cryptomus

The registration process will take you just a few minutes, as you can log in using the most convenient method, including Telegram, Facebook, or Google. At this stage, enable 2FA to protect your data and money from potential hacking by fraudsters.

Step 2: Complete the KYC Verification

The Cryptomus platform follows AML policy and adheres to high security measures, so KYC verification is a necessary part of the registration process. This will allow you to access financial transactions within the platform.

To complete verification, go to the “Settings” section. Then click on the KYC verification button, which is the third item in the list. Take a photo of your ID and a selfie, then upload these files to the platform. This procedure allows the platform to verify that you are a real person and confirm your verification.

Step 3: Return to the Dashboard and Click “Receive”

Fill in all your criteria: select the desired cryptocurrency to buy and a suitable network. Then choose “Fiat” as a type of receive option when you’re buying any crypto with a debit or credit card.

Step 4: Fill in the Details

Click on “Receive via Mercuryo” and fill in the gap with the amount you’re going to pay in the preferred currency. The receiving amount of cryptocurrency will be automatically calculated in the payment form.

Step 5: Confirm Your Purchase

Next, fill in your email address for getting a verification code, and enter your debit or credit card details to make a purchase.

Well done! You’ve just bought cryptocurrency with a card without any complications. The funds will be credited to your personal wallet soon!

Do You Have to Pay Taxes on Cryptocurrency Investments?

Yes, the tax regime for cryptocurrencies in France is strictly regulated. Therefore, income from the sale of cryptocurrencies is subject to income tax for individuals and corporate tax for companies. According to Article 150 VH bis of the General Tax Code (CGI), capital gains earned by individuals from the sale of cryptocurrencies are taxed at a fixed rate of 30%, which corresponds to the flat-rate profit tax (PFU). This rate includes 12.8% income tax and 17.2% social security contributions.

Taxpayers must also report this income in their annual tax return. If an entrepreneur fails to do so, tax penalties may apply, including surcharges for insufficient reporting. In addition, accounts held abroad on cryptocurrency exchange platforms must be declared to the tax authorities under penalty of fines. Failure to provide information may result in a fine of up to €10,000 per undeclared account.

Before trading, we recommend that you carefully review the tax rate and amount, as this information is subject to change.

Buying cryptocurrency in France is a fairly simple process if you learn the basic rules in the legislation and follow them. It is also important to take a responsible approach to trading and storing cryptocurrencies. To do this, choose reliable platforms such as Cryptomus.

If you have any questions, please text us on email or Telegram. We will be happy to help!