Ukrainian president Volodymyr Zelenskyy has finally passed a bill that declares cryptocurrencies as a legal asset class in Ukraine. The bill was passed by the parliament last month, shortly before Russia declared war against the country.
Tweeting the news Wednesday, Ukraine’s Ministry of Digital Transformation revealed that both Ukrainian and foreign crypto exchanges are allowed to operate legally in the country. In addition, banks can also open accounts for crypto companies.
Ukraine has legalized the crypto sector — @ZelenskyyUa signed a law. From now on foreign and Ukrainian cryptocurrencies exchanges will operate legally and banks will open accounts for crypto companies. It is an important step towards the development of the VA market in Ukraine. pic.twitter.com/lqqO1J9r1k
— Міністерство цифрової трансформації України (@mintsyfra) March 16, 2022
The ministry has also released a statement defining the contents of the bill. The law determines the legal status, classification, and ownership of virtual assets, along with the regulatory authority that would manage the market. The president has assigned the National Bank of Ukraine and the National Commission on Securities and Stock Market as the key crypto market regulators.
“Until now, the Ministry of Culture has been developing the legal field in this area. Together with industry representatives, we developed a profile law. Currently, the Ministry of Finance is also actively working to amend the Tax and Civil Codes of Ukraine to fully launch the market for virtual assets,” the released statement read.
Ukraine, a war-torn nation in the wake of Russia’s invasion, has become one of the few countries to adopt crypto-friendly regulations. The country has received more than $100 million in crypto donations through non-profit organizations as well as government accounts.