This week, global crypto adoption kept law enforcement, legislators, and regulators busy, as authorities worldwide grappled with increasing crypto crime, governance, and regulatory challenges.
In France, a police raid freed a successful crypto entrepreneur’s father, who had been kidnapped for ransom amid a wave of crypto kidnappings blighting the country, though not before he’d had his finger chopped off.
Meanwhile, in Australia, a court ruling in a criminal case that crypto should be classified as money, not property, could force the Australian Tax Office (ATO) to pay out $640 million in tax refunds.
Finally, in the UAE, Dubai’s Virtual Assets Regulatory Authority (VARA) released the second iteration of its virtual asset trading rulebooks, Version 2.0, and announced a compliance deadline for crypto businesses of June 19, 2025.
Find out more about each of these stories below.
Crypto kidnappings on the rise as French police rescue entrepreneur’s father minus finger
Earlier this month, French police freed the father of a wealthy cryptocurrency entrepreneur as his kidnappers were preparing to drill into his knee, having already chopped off one of his fingers. Seven suspects are now in custody.
Also this month, the daughter of the Bitcoin platform Playmium CEO, Pierre Noizat, narrowly escaped being kidnapped on a Paris street in broad daylight while with her husband. As they struggled with the would-be kidnappers, who were trying to drag her into a van, a nearby shopkeeper armed with a fire extinguisher rushed out to help chase off the attackers.
According to another French crypto entrepreneur, Eric Larcheveque, who, with his wife, was taken hostage for ransom in January 2025, of 50 crypto-related attacks reported globally in the last 12 months, 14 of them were in France.
The wave of crypto-related violence is becoming a serious political issue for the French government, particularly for Interior Minister Bruno Retaillau, a potential presidential candidate with a ‘tough-on-crime’ stance, after Macron’s final term ends in 2027. Meanwhile, Macron’s positioning of France as friendly towards crypto businesses is also under threat.
Minister Retailleau met privately with crypto entrepreneurs to discuss their safety. For security reasons, journalists were requested not to film participants, and the meeting was described as ‘strictly confidential.’ He said that crypto owners and their families will receive a range of heightened security measures as the French government is taking its efforts to prevent crypto-related violent crimes seriously.
Why this matters
The rise in crypto-related kidnappings for ransom and the accompanying brutality of the kidnappers is to be condemned outright, as much as the bravery of French police and a civilian for their conduct is to be commended. While it is noted how rising crypto crime can apply pressure to political leadership, the opening of dialogue between France’s government and industry leaders is encouraging.
Learn more about this story at APNews.
Australian court’s crypto crime case ruling paves the way for $640M tax refund
On May 19, 2025, Victorian magistrate Michael O’Connell ruled that Bitcoin recovered during criminal proceedings against former Federal Police Officer William Wheatley should be classified as money, rather than property.
Judge O’Connell likened crypto trading to transacting with Australian Dollars, rather than owning property, or investing in shares, gold, or foreign currency. The latter are subject to the capital gains tax (CGT) regime, under which the ATO has taxed crypto since 2014. The ATO could pay refunds of up to almost AUD$1 billion ($640 million) if the ruling becomes law.
The state’s case against Wheatley alleges that he stole 81.6 Bitcoin in 2019, which was worth AUD$492,000 at the time. On May 20, 2025, it was worth AUD$13.4 million ($8,6 million).
Tax Lawyer and defence co-barrister Adrian Cartland commented that the ruling regards Bitcoin as Australian money, not a CGT asset, and “therefore, acquisitions and disposals of Bitcoin have no tax consequences.” He added that the decision ‘totally upends’ the ATO’s current practice.
Wheatley’s defense team has appealed against the ruling, contending that Bitcoin “isn’t property at all, but is instead information and therefore can’t be stolen.”
Why this matters
Although the ruling is specific to Bitcoin traded after 2019, if upheld against the appeal, it could mean the government has to substantially overhaul Australia’s taxation system and make eye-watering retroactive payouts. It also highlights that legal definitions matter for the crypto industry globally, affecting taxation, ownership rights, perceived legitimacy in the eyes of governments, and even what criminal charges can be laid.
Learn more about this story at Cryptonews.
Dubai’s VARA releases new rulebook with one-month crypto compliance deadline
On May 19, 2025, Dubai’s VARA (Virtual Assets Regulatory Authority) announced Version 2.0 of its Rulebooks, with a compliance deadline of June 19, 2025, for affected virtual asset service providers (VASPs). According to VARA, the new rules aim to enhance market integrity and improve risk oversight.
The original VARA Rulebook outlines regulatory standards for virtual asset activities in Dubai, ensuring compliance, protecting investors, fostering innovation, and supporting secure, transparent digital asset markets. Version 2.0 is designed to build on this foundation.
The regulator said its team will assist licensed entities in making essential updates to meet the June 19 deadline.
The new rules aim to:
- Strengthen control of margin trading and token distribution services
- More clearly define collateral wallet arrangements, and
- Harmonize compliance requirements for all licensed activities.
According to VARA, the Version 2.0 is “in line with global regulatory best practice, a 30-day transition period has been granted to all impacted VASPs with full compliance required by 19th June.”
Why this matters
VARA’s release of its Version 2.0 rulebook for VASPs is a clear indication of Dubai and the UAE’s determination to establish a safe and vibrant crypto ecosystem. Crypto exchanges and their compliance teams should assess and update their compliance frameworks accordingly and within the deadlines and be vigilant about regulatory developments in the region.
Learn more about this story at Cointelegraph.
