Ireland plans to exclude cryptocurrencies and complex derivatives from its new state-backed personal investment accounts, which are set to launch in 2027. The decision means crypto will be banned from the scheme, while listed shares, bonds, exchange-traded funds, and other regulated investments will remain eligible.

The government intends the accounts to encourage households to shift more savings from cash deposits into capital markets, part of a wider EU push to deepen the Capital Markets Union and channel household savings into productive investment. Officials will announce the tax-free threshold, the annual levy, and the contribution limit in Budget 2027 this October, which will be the next concrete milestone for prospective account holders and providers.

Crypto Excluded From New Investment Accounts

The planned accounts will not permit cryptocurrencies or complex derivatives, which the government classifies as high-risk products. The approach mirrors other European schemes: Italy's tax-advantaged Piani Individuali di Risparmio, for example, also restrict eligibility to regulated instruments rather than crypto. Tokenized versions of financial instruments may still qualify when the underlying asset meets the scheme's rules, leaving a potential pathway for blockchain-based wrappers of conventional assets even as direct crypto holdings are barred.

Eligible products will include listed stocks, corporate bonds, regulated market instruments, retail investment funds, ETFs, and insurance-based investment products. Tax residents aged 18 and above will be able to open the accounts once the scheme begins.

Investors will pay no tax below a threshold that the government has not yet set. Above that level, providers will apply a low annual flat rate to the account's average value, including contributions.

The new system will replace the current 33% capital gains tax and 41% fund exit tax for assets held inside the account. It will also remove the deemed-disposal rule, which taxes certain unrealized fund gains every eight years, a long-criticized feature that has made Irish fund investing administratively burdensome for retail savers. Account providers will calculate and pay any tax due directly to the Revenue Commissioners on behalf of investors.

Crypto Rules Tighten Alongside New Scheme

Irish households hold about 38% of their financial assets in cash and deposits, compared with an EU average of 30%. Direct retail participation in listed markets stands near 2.3%, below the EU average of 7.5%, underscoring the gap the scheme is designed to address.

Deputy Prime Minister and Finance Minister Simon Harris said the account would give households a simpler way to invest. The government has based parts of the plan on Sweden's tax-advantaged Investeringssparkonto model.

The exclusion of crypto also aligns with broader national efforts to strengthen controls around digital assets. Ireland recently launched an anti-money laundering strategy that places crypto transfers and offshore financial flows under closer supervision.

Registered crypto firms must apply stronger identity checks for transfers involving self-hosted wallets. Transfers above about $1,150 require providers to verify wallet ownership, while receiving firms must detect missing transaction data and may freeze or return noncompliant transfers. The controls follow EU rules under MiCA and the Transfer of Funds Regulation. Crypto remains legal to buy and hold directly in Ireland; the restriction applies only to what can be held inside the new tax-advantaged accounts.