The European Union has officially implemented DAC8, its new crypto tax transparency directive, effective January 1. The regulation significantly expands oversight of crypto activity across the EU.
Under DAC8, crypto-asset service providers—including exchanges, brokers, and custodians—are required to collect and report detailed user and transaction data to national tax authorities. This information will be shared among EU member states, strengthening cross-border supervision.
📊 What DAC8 Changes
Closes long-standing tax reporting gaps in the crypto sector
Brings crypto oversight closer to that of bank accounts and securities
Enables clearer tracking of:
Crypto holdings
Trades
Cross-border transfers
⏳ Compliance Timeline
Rules apply from January 1
Crypto firms have until July 1 to fully align:
Reporting systems
Customer due diligence
Internal compliance controls
After the deadline, non-compliance may result in penalties under national laws.
🌍 Impact on Users
DAC8 enhances cross-border enforcement, allowing EU tax authorities to:
Share crypto-related tax data
Coordinate investigations
Freeze or seize crypto assets linked to unpaid taxes or tax evasion
📌 Bottom Line
DAC8 marks a decisive move toward full regulatory integration of crypto into the EU tax framework, increasing transparency for authorities and compliance obligations for service providers and users alike.
