The Spanish Treasury has proposed a tax reform that allows the confiscation of cryptocurrencies

ChainCatcher news, according to Bitcoin.com, the Spanish Treasury is seeking to control and supervise cryptocurrency assets owned by taxpayers. The agency has proposed reforms to the current tax law, allowing the national tax authority Agencia Tributaria to seize cryptocurrencies held by taxpayers when enforcing tax debts. This proposal, submitted to the European Union (EU) in 2021, may soon be implemented, as local sources explain that the government is rapidly taking action to create the necessary conditions for the reform's implementation.

The Spanish government has issued a royal decree declaring electronic money entities as tax collection agencies, meaning these entities must take embargo actions on customers' digital currencies and crypto assets when requested by the government, whereas previously only traditional banks and credit institutions were required to fulfill this duty.