Do crypto gains remain tax-free? New twist in the holding period

Germany’s planned abolition of the one-year crypto holding period appears to be off the table for now after pushback from the CDU/CSU Union, leaving the tax-free treatment of bitcoin and other crypto gains after 12 months intact. The holding period lets investors sell tokens such as BTC tax-free once held for at least a year, a rule that had been slated for removal under the government’s coalition plans. The Union’s resistance signals that crypto taxation remains a contested issue in Berlin and that earlier reform ambitions may be delayed or diluted. It matters because the one-year rule is a key driver of long-term holding behavior among German retail investors and a factor in how gains are reported. What to watch next is whether the coalition revives the change in a later legislative package or leaves the holding period untouched through the current session.