Cryptocurrencies are legal in Ukraine
Cryptocurrencies are legal in Ukraine

Ukraine's President Volodymyr Zelensky has signed a law on cryptography called On Virtual Assets, which defines the country's legal framework for regulating regulated crypto markets.

A month ago, the Verkhovna Rada approved a bill on legalizing cryptocurrencies and preparing a framework for its regulation and governance.

Platforms and companies dealing with digital assets must register with the government to operate legally in Ukraine. Allow banks to open accounts for crypto companies.

The law gives the National Stock Exchange of Ukraine the power to set national digital asset policy, issue licenses to companies involved in cryptocurrency transactions and act as a financial regulator.

The Verkhovna Rada previously passed a law legalizing cryptocurrencies in September. However, shortly thereafter, President Zelensky vetoed the bill. At the time, he said, the country was unable to establish a new regulatory body to regulate cryptocurrency.

In the fall of 2020, Ukrainians, Russians and Venezuelans were active users of cryptocurrency. This was before the official regulations.

“The signing of the law by the president is another important step in bringing the crypto industry out of the shadows and opening up a legal virtual asset market in Ukraine,” Ukraine’s Ministry of Digital Transformation wrote in announcing the signing of the law.

Ukraine legalizes the cryptocurrency industry

There are some trends that put Ukraine ahead. Including a large number of citizens working in technology and a diligent entrepreneurial environment. The world has also sent about $100 million in cryptocurrency donations to Ukraine since the Russian invasion.

Kuna, Ukraine's first cryptocurrency platform, will help the country spend donations and convert cryptocurrency into fiat currency once the new law comes into effect.

The country has also partnered with FTX to invest donations in cryptocurrency for deposit in the National Bank of Ukraine.

FTX, Kuna and Everstake have partnered with Ukrainian government officials to launch a user donation website. The site accepts donations in Bitcoin, Ethereum, Tether, Polkadot, Solana, Dogecoin, Monero, Icon, and Neo.

A few months ago, the New York Times published a report on Ukraine, calling it the crypto capital of the world.

“Our goal is to be one of the best jurisdictions in the world for crypto companies,” Ukraine’s Deputy Minister for Digital Transformation Alex Bornyakov said at the time. We think this is the new economy, this is the future. We believe it can boost our economy.

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