Bitcoin on sale at your tobacconist

This is something of a small revolution: from 1 January 2019, the famous Bitcoin can be bought in some tobacconists. While many French people are delighted by the opportunity, the authorities remain cautious and concerned.

Virtual currencies in the real world

The announcement was made last November by the Confédération des buralistes, the French tobacconists’ federation. From January 2019, it will be possible to find Bitcoin, but also Ethereum, two virtual currencies, in nearly 3,000 tobacconists across mainland France. They will be available as convertible coupons. Under an agreement with KeplerK, Bimedia has supplied payment terminals to the tobacconists concerned.

Regulars know that Bitcoin can buy just about anything, from a gadget to a luxury flat in Dubai. Although few bricks-and-mortar retailers are equipped for it, Paris is where transactions are most frequent. One point to note: this will be no different from online, and users also run the risk of losing everything.

The French authorities are concerned

The Banque de France warns users that no regulatory framework has been put in place for the distribution of this cyber-currency. In other words, no authorisation has been granted, by the French authorities or by foreign ones, for the setting up of this trading platform. Legally speaking, no guarantee is therefore provided.

What is more, the powerlessness of the Autorité des Marchés Financiers (AMF), the Autorité de Contrôle Prudentiel et de Résolution (ACPR) and the Banque de France now leads them to point out that this cryptocurrency is not recognised as a genuine currency, since it has no tangible form (coin or note). Nor is it secure, and virtual wallets remain a target for cyber-criminals. Finally, since its spectacular arrival on the markets in December 2017, the Bitcoin price has been in free fall, dropping from 19,000 dollars to 3,900 today.

Finally, it is worth recalling that the tax authorities nonetheless have a hold on Bitcoin, since every gain made by French taxpayers is subject to tax.