Will Bitcoin hodlers be the reason more countries adopt wealth taxes?
Bitcoin's price has surged over 600,000% since 2013, prompting governments to consider taxing unrealized gains. Wealth taxes, applied to total net worth regardless of asset sales, are gaining traction as a means to increase public revenue and address inequality. Countries like Belgium, Norway, and Switzerland have long implemented such taxes, while larger economies like the US and Australia have avoided them. French Senator Sylvie Vermeillet proposed labeling Bitcoin as "unproductive," suggesting annual taxation on its gains. Governments may risk losing wealthy individuals to tax havens if they pursue wealth taxes. The volatility of Bitcoin complicates potential taxation policies, and the crypto community is likely to respond actively to any significant changes.
