European tax authorities are becoming more strict, but they may be one of the sources of risk. French tax agents may have exposed crypto owners, increasing the number of physical attacks.
As tax authorities gain more knowledge of crypto ownership, they may become a source of information leaks, both unintended and deliberate.
French media reported on a tax agent who may have deliberately exposed the data of crypto owners.
The former French tax agent Ghalia C. recently appealed her sentence for aiding organized crime. She was investigated for exposing the details of a prison guard, and may have shared data on crypto ownership.
The 32-year-old Ghalia C. was imprisoned on June 30, 2025, and remained in custody for complicity in violence against a prison officer and criminal conspiracy.
Tax agent searched for high-profile crypto owners
The French tax agent was mostly investigated for the actual attack against an exposed prison guard’s phone. However, her history included searches for public figures and cryptocurrency investors.
There are no reports on a planned attack on crypto owners, but the case opens the door to the potential for tax-based leaks. Additional reports show Ghalia C. may have used her access to confidential tax authority databases to compile profiles of potential targets, including cryptocurrency owners.
The research targeted public crypto specialists, but may have exposed even private owners with data on location, as well as capital gains on crypto.
Crypto exposure leads to more physical attacks
France was one of the hotspots for repeated attacks against crypto owners. As Cryptopolitan reported earlier, the crime was becoming more organized and repeated as a pattern.
Crypto ownership became mainstream, while European citizens doubled their exposure between 2022 and 2024. At the same time, tax authorities required more reporting and tying on-chain addresses to identities with full KYC data. Proposals for new laws on taxing wealth will include reporting on crypto holdings above 5,000 EUR. Even new buyers from the past couple of years with exposure to BTC may have seen their assets appreciate above the threshold.
Tax authorities are also seeking the declaration of crypto funds above a certain threshold, essentially creating a database of ownership tied to personal and tax information.
The discovery of the tax authority leak follows the recent exposure of data from Global-e, the payment processor for Ledger. Known crypto owners, especially with links to emails, can become the target for both physical attacks and phishing or scam attempts.
France also plans to tax crypto holdings above 2M EUR at 1% annually, including those held in self-custodial or offshore wallets. Crypto ownership is still reported voluntarily, but any attempt to use a centralized platform may connect wallets to an identity. The attempts to track crypto ownership have led to a growing demand for mixers, as well as confidentiality assets.
Additionally, tax authorities may demand payments based on unrealized capital gains, causing long-term holders to sell and cover their costs.
The smartest crypto minds already read our newsletter. Want in? Join them.
