Bull Bitcoin has filed a lawsuit challenging France’s implementation of the European Union’s crypto reporting rules under DAC8. The company argues that the regulation forces crypto asset service providers to collect and share too much customer data.
The trial process in France has begun
The company announced that it made its application before the Conseil d’État, which is the Council of State, France’s highest administrative judicial body. DAC8 rules come into force as of January 1, 2026. The regulation requires crypto asset service providers to collect customer and transaction data, then report this information to national tax authorities. Tax authorities also share this data with other jurisdictions included in the system.
Mini dictionary: DAC8 is known as one of the latest regulations made by the European Union in its tax cooperation rules. This framework aims to share customer and transfer information regarding crypto asset transactions between tax administrations in a standard way.
Bull Bitcoin argues that the system goes beyond tax reporting, creating a large data pool that includes user identities, home addresses and crypto activities.
According to Bull Bitcoin, this structure is not only for tax audit purposes. The company warned that central databases that bring together identity information, residential addresses and crypto transactions could turn into attractive targets for cyber attackers or organized crime groups.
The company’s main objection was the automatic notification requirement
Bull Bitcoin states that in the previous order, customer information was shared only upon the lawful request of competent authorities or when suspicious transactions were detected. With DAC8, the notification process becomes automatic and data is transferred even if there is no suspicion of irregularity.
The company emphasizes that its automated reporting model puts sensitive financial data into wider circulation, which can increase security risks.
The company also drew attention to the recent increase in kidnappings and violence targeting crypto asset owners in some countries. Bull Bitcoin suggests that these risks could grow even larger if large-scale financial databases fall into the wrong hands.
The file can be moved to higher judicial authorities
Bull Bitcoin demands the annulment of the decision implementing DAC8 in France. The company also stated that it is ready to move the file to the Court of Justice of the European Union and the French Constitutional Council if deemed necessary. Bull Bitcoin operates as a cryptocurrency company that offers Bitcoin-focused trading and custody services.
This is not the first attempt in the crypto industry to challenge the reporting obligations of public authorities. In the USA, industry representatives had brought the regulations regarding the Internal Revenue Service’s intermediary reporting rules and transaction reporting obligations to the judiciary.
Similar objections have been seen before in the USA
In these cases, which were brought to various jurisdictions, including the US District Court for the Northern District of Texas, it was claimed that the rules in question violated the Fourth and Fifth Amendments of the US Constitution and the Administrative Procedure Act. While courts have generally been reluctant to strike down tax reporting regulations entirely, they have in some cases directed regulators to clarify definitions or narrow the scope of application.
In a separate judicial development, Thai authorities issued an arrest warrant for Chinese businessman Wang Yicheng. Authorities accuse Wang of playing a central role in an illegal crypto mining network that allegedly consumed approximately $28 million in electricity without permission.
