Ukraine establishes a crypto regulatory framework as the president signs new laws for the same. Cryptocurrencies have been a boon for the country as they were able to funds to help in the war. So, it was a matter of time before they formulated proper laws to have it coexist in the economy. This step could urge other nations as well to have proper crypto laws in place, as Ukraine shows how beneficial they can be.
Ukraine’s crypto regulatory framework
Ukraine’s Digital Transformations ministry recently announced that their president, Volodymyr Zelenskyy, has signed a bill on virtual assets. It was adopted by the legislature of the country in Feb. This bill makes it compulsory for exchanges and other crypto firms operating in the country to register with the government first. So, before they start operations a thorough investigation will happen. Secondly, banks will also be allowed to collaborate with crypto firms and open accounts for them.
The bill rests the power of formulating new laws and regulations for crypto in the hands of the National Securities and Stock Markets Commission of the country. They will also be the ones to issue licenses to businesses in order to operate in Ukraine. Apart from the regulatory laws, the Ukraine Ministry of Finance was also working to develop a legal framework of taxation and civil codes for crypto assets. This new regulation is another step forward towards the proper adoption of cryptocurrencies.
Why has crypto become so crucial to Ukraine?
The country has raised more than $50 million directly via various cryptocurrencies without having to pay any commission to banks. It has also allowed the entire world to come together and contribute towards the humanitarian cause of helping Ukraine. Without the presence of crypto, it would have been very difficult for the nation to raise funds needed for amenities and military supplies. They have also set up a donations website in collaboration with FTX and Everstake recently to raise at least $200 million for this war.
What are your thoughts as Ukraine establishes a crypto regulatory framework with a new bill? And do you think that the world will finally understand the importance of crypto with the Russia-Ukraine war and economic turmoil? Let us know in the comments below. Also, if you found our content informative, do like and share it with your friends.