The debate over the tax treatment of Bitcoin and other cryptocurrencies is reaching a new political level. On October 12, 2026, the Petitions Committee of the German Bundestag will consider Petition 201716—which calls for maintaining the one-year holding period for private sales of cryptocurrencies—in a public hearing.

The petition, sponsored by the ProHaltefrist initiative, was signed by 44,439 people. The required quorum of 30,000 supporters had already been reached shortly after the public signing period began. Press Release: Haltefrist Petition Hearing…

The hearing comes at a particularly politically significant time. Just two days later, on October 14, 2026, according to the current status of proceedings, the Federal Cabinet is scheduled to address a reform of the taxation of certain crypto assets. Press Release: Holding Period for Petition Hearing…

Federal Ministry of Finance Plans Fundamental Change to Crypto Taxation

The current debate stems from a draft bill by the Federal Ministry of Finance for a “Law on the Reform of the Taxation of Certain Crypto Assets in Private Holdings.”

According to the draft, profits from so-called cryptocurrency assets such as Bitcoin will no longer be treated as private sales transactions under Section 23 of the Income Tax Act (EStG), but rather as income from capital assets.

For newly acquired crypto assets, this would mean the end of the current rule under which capital gains may be tax-exempt after a holding period of more than one year. For cryptocurrencies acquired before January 1, 2027, the draft currently provides for grandfathering provisions. PM Holding Period Petition Hearing… PM Holding Period Petition Hearing…

This means that a fundamental change to the current tax system is under discussion.

Petition Calls for Retaining the One-Year Holding Period

The ProHaltefrist initiative is advocating for the retention of the existing one-year holding period for private investors.

From the initiative’s perspective, the current regulation distinguishes between short-term trading and long-term wealth accumulation. Those who hold Bitcoin for the long term engage in economic activity differently from those who speculate on short-term price movements.

Nicole Nowak, the petition’s initiator, puts it this way:

“Today’s holding period deliberately differentiates between short-term trading and long-term wealth accumulation. Someone who holds Bitcoin for years acts differently from someone who speculates on short-term price movements.”

For the petition’s supporters, the issue is not solely about the amount of potential tax burden. Questions of legal certainty, protection of legitimate expectations, private wealth accumulation and retirement planning, as well as Germany’s attractiveness as a business location, also play a role in the debate. [PM Holding period Petition hearing…]

Previous statements from the Union are gaining in importance

The debate gains additional political relevance through previous statements by members of parliament from the CDU and CSU.

Fritz Güntzler, the fiscal policy spokesperson for the CDU/CSU parliamentary group in the Bundestag, had stated in May 2026:

“A tightening of crypto taxation was not agreed upon in the coalition agreement.”

It went on to say:

“From the perspective of the CDU/CSU parliamentary group in the Bundestag, there is therefore no reason to change the tried-and-true regulation.”

Other members of the CDU and CSU had also expressed criticism of a standalone abolition of the holding period for cryptocurrencies. Among other things, they referred to the existing tax framework as it applies to gold and foreign currencies. Press Release: Holding Period Petition Hearing…

In light of the current draft bill, it will therefore be important to see what position the Union takes as the legislative process moves forward.

Public Hearing on October 12,

On October 12, 2026, from 12:00 p.m. to 2:00 p.m., the Petitions Committee will hold a public hearing at the Marie-Elisabeth-Lüders-Haus of the German Bundestag in Berlin.

The consultation on the crypto holding period begins at 12:00 p.m.

There, petitioners will have the opportunity to present their arguments to the members of the Petitions Committee and answer questions. Representatives of the federal government will also be available to answer questions from committee members. Press Release: Time Limit for Petition Hearings…

The German Bundestag broadcasts the session live on the Internet and makes a recording available afterward.

Debate Continues to Gain Momentum

The hearing is likely to attract particular attention because it is taking place immediately before the Federal Cabinet is scheduled to consider the draft bill.

With more than 44,000 supporters, the petition has shown that the tax treatment of Bitcoin is an important issue for many citizens.

The coming days could therefore be decisive in determining what role the existing holding period will play in the legislative process going forward.

The German Bitcoin Association will continue to closely monitor further policy discussions regarding the planned reform of crypto taxation.

Further information

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. More information about the petition and the initiative can be found at ProHaltefrist.de.

The public meeting of the Petitions Committee will take place on October 12, 2026, starting at 12:00 p.m.