The Ukrainian President, Volodymyr Zelensky, has signed a new bill that will soon boost the status of cryptocurrency in the country as a legal asset class in Ukraine. Ukraine’s Ministry of Digital Transformation tweeted that the operation of both country-bound and foreign cryptocurrency exchanges is now apparent in Ukraine. After this step, blockchain companies would be able to operate and open accounts in Ukrainian banks.
It is recorded that Ukraine has received an estimate of $100 million in crypto donations since Russia’s invasion. Ukraine had Spent 15M Dollars of Crypto on Military Gear to weaponize the Ukrainian army and aid several humanitarian programs.
“The signing of this Law by the President is another important step towards bringing the crypto sector out of the shadows and launching a legal market for virtual assets in Ukraine,” wrote Ukraine’s Ministry of Digital Transformation, announcing the law’s signing.
One must note that the operation of cryptocurrency was not illegal in the country before the signing of this bill; however, the digital assets in Ukraine was not quite an insight as well. Beforehand, neither companies nor people could trade or own crypto in the country. The prevalent crypto crimes related to money laundering previously made the government tighten their grip on the crypto market. However, since Russia attacked Ukraine, the country has received millions in donations as cryptocurrency, therefore, marching the country’s status as a leading crypto adopter.
The law was vetoed by the Ukrainian President last September
Ukrainian President, Volodymyr Zelensky, did pass the bill this time. When the law was first introduced in September, he vetoed it as he expressed concerns about funding a new regulatory agency. Experts report that the bill has been in the works since September and this new bill addresses all the issues previously highlighted. This new bill will bring the crypto market out of the shadows and present the country with financial growth and stability prospects.
“Market participants will receive legal protection and the opportunity to make decisions based on open consultations with government agencies. There will appear a transparent mechanism for investing in a new asset class,” remarked Deputy Prime Minister of Digital Transformation, Mykhailo Fedorov, in the official release on February 17, the day Ukrainian parliament passed the law with 270 votes in favour.
The law will be regulated by the National Bank of Ukraine and its National Commission on Securities and Stock Market
This new law will empower the country in establishing a legal framework for cryptocurrency’s existence. The National Bank of Ukraine and its National Commission on Securities and Stock Market would regulate the happenings of the cryptocurrency market. The crypto establishment will further pave the way for stringent laws and protocols, strengthening the crypto market in the country.