Ukraine passes a cryptocurrency bill into law after receiving $100 million USD in cryptocurrency donations to Ukraine’s war operations.
President Zelenskyy signed the country’s “virtual assets” bill, which will provide a legal framework for cryptocurrency adoption, according to the Ukrainian Government’s Ministry of Digital Transformation.
The law was enacted by Parliament on February 17 after Zelenskyy rejected an earlier version. It will establish the legal status, categorization, and ownership of virtual assets, according to the statement. The market will be regulated by Ukraine’s National Commission on Securities and the Stock Market, and virtual asset providers such as exchanges will be permitted to operate. According to a tweet from the Ministry of Digital Transformation, Ukrainian banks will be permitted to open accounts for cryptocurrency companies.
Cryptocurrency exchanges will be granted operating permissions, and Ukraine’s Ministry of Finance will strive to alter the tax code to accommodate digital assets such as Bitcoin and Ethereum.
In a translated statement, the Ministry of Digital Transformation concluded, “The signing of this Law by the President is another crucial step toward pulling the crypto sector out of the shadows and opening a legal market for virtual assets in Ukraine.”
In recent weeks, Ukraine has been ahead of the curve in nation-state crypto adoption, despite the country going through one of its darkest periods in history. Since Russia invaded its eastern European neighbour on February 24, Ukraine has received more than $100 million in cryptocurrency donations, with more than half of the total flowing to government-controlled wallets. Ukraine is believed to have spent at least $15 million on military equipment and other supplies so far. It also intends to launch an NFT collection to commemorate the war, though no other details have been released.