Global Adoption

Tether CEO Slams Italy Plan to Increase Capital Gains Tax on Bitcoin to 42% From 26%

Italy is preparing to increase the capital gains tax on Bitcoin and other cryptocurrencies to 42%, according to Deputy Finance Minister Maurizio Leo, who shared the news during an Oct. 16 conference. Leo explained that as cryptocurrencies, particularly Bitcoin, gain popularity, the government anticipates raising the withholding tax rate from its current 26% to 42%. This proposed tax hike could position Italy among the countries with the highest crypto taxation globally.
Meanwhile, this new tax plan appears to diverge from earlier promises made by Prime Minister Giorgia Meloni, who had assured citizens there would be no broad tax hikes. However, her comments seem to have been aimed at avoiding widespread tax increases rather than specific changes to niche sectors like crypto.

She wrote on X:

As we promised, there will be no new taxes for citizens. In addition, we will make the tax cut on workers structural, and 3.5 billion from banks and insurance companies will be allocated to Healthcare and the most vulnerable to ensure better services that are closer to everyone’s needs.”

It is still uncertain whether the new crypto tax policy will be effective. Countries like India, which introduced heavy taxes on digital assets, saw trading volumes drop significantly as investors turned to offshore platforms to escape the high tax burden. Meanwhile, the announcement has sparked backlash from Italy’s crypto community, with many users considering relocating to countries with more favorable tax environments, such as Dubai. Last week, The UAE exempted all crypto transactionsfrom having to pay value-added tax.

Tether CEO Paolo Ardoino voiced his frustration, sharing a meme that hinted at an exodus of crypto users from Italy to more welcoming jurisdictions. He later commented that Italy’s logic seemed to be that the more successful a sector becomes, the more it should be taxed. In a sarcastic tone, Ardoino added: “How dare [Italians] use Bitcoin as protection or a hedge against Italian financial policies.”

Terron Gold

Recent Posts

Senator Murphy Alleges White House Insiders Profited From Iran Strike Bets, Pushes to Ban Prediction Markets on Government Actions

U.S. Senator Chris Murphy (D-Conn.) is calling for legislation to ban prediction markets that allow traders to bet…

2 days ago

IRS Proposes Electronic-Only Delivery For Crypto Tax Forms Under New Reporting Rules

The U.S. Internal Revenue Service (IRS) has proposed a new rule that would allow cryptocy brokers to deliver…

2 days ago

Crypto-Friendly Fintech Revolut Files For U.S. Banking License to Expand Crypto and Payments Services

Global fintech powerhouse Revolut has filed an application for a U.S. banking license, a move that would allow…

2 days ago

Suspect Arrested on Caribbean Island of Saint Martin in $46M Seized Crypto Theft Case

A man accused of stealing tens of millions of dollars in cryptocy from U.S. government…

2 days ago

NYSE Parent ICE Invests in Crypto Exchange OKX at $25B Valuation Amid Tokenized Stocks Push

Intercontinental Exchange (ICE) — the parent company of the New York Stock Exchange — has taken a strategic…

2 days ago

AI Models Favor Bitcoin as a Store of Value, Stablecoins for Payments, BPI Study Finds

A new study from the Bitcoin Policy Institute (BPI) found that leading artificial intelligence models overwhelmingly favor Bitcoin…

2 days ago