Ireland's New Savings Scheme Excludes Crypto Assets, Aims to Unlock $203 Billion in Deposits

Ireland's Deputy Prime Minister and Minister for Finance Simon Harris unveiled the framework for the country's new savings and investment scheme in an Instagram video on Sunday, explicitly excluding crypto assets. Savers can hold stocks, bonds, funds, exchange-traded funds, and insurance-based products, while cryptocurrencies, derivatives, and interest-bearing cash are not permitted under the scheme. The initiative aims to channel approximately $203 billion (€175 billion) in deposits held by Irish households in bank accounts into investments. Each Irish tax resident aged 18 or older can open one account, with contributions within the tax-free allowance fully exempt from tax, and amounts above that subject to a low fixed annual rate, with no minimum contribution or lock-in period, but an annual contribution cap applies. Specific thresholds and rates will be announced on the budget day of October 6, with accounts expected to open next year. Central Bank of Ireland research shows Irish households allocate only 2.3% of their financial assets to direct investments such as listed stocks and bonds, well below the EU average of 7.5%. Harris also confirmed that the new accounts will not be subject to the "deemed disposal" rule—which requires certain funds to be taxed at a rate of 38% every eight years—and the government will review this provision more broadly in the coming weeks. A Central Bank of Ireland survey found that approximately 10% of adults hold crypto assets, primarily younger males, with an average holding of around €2,266. The exclusion of crypto assets follows Ireland's launch of its first national anti-money laundering strategy on August 13, which strengthens scrutiny of private wallet transfers and due diligence requirements for overseas crypto firms.