Kiev, Europe Brief News – Ukrainian president Volodymyr Zelenskyy has enacted a law officially making cryptocurrencies legal in the besieged country.
“From now on foreign and Ukrainian cryptocurrencies exchanges will operate legally and banks will open accounts for crypto companies,” Ukraine’s Ministry of Digital Transformation tweeted on Wednesday.
“It is an important step towards the development of the [virtual assets] market in Ukraine.”
Under the new legislation, Ukraine will be able to establish a legal, regulated crypto market.
The new law, which received the president’s signature on Wednesday, will allow foreign and Ukrainian crypto exchanges to operate legally in Ukraine in what is being seen as a vital step to developing a legal market for virtual assets in the country.
Moreover, the new law will create a regulatory framework for an open crypto market in Ukraine for the first time.
Zelenskyy vetoed the bill in October, arguing that the costs of establishing a new regulatory body were too steep.
The bill signed by the president on Wednesday was an amended bill that addressed his concerns. The majority in the Verkhovna Rada – the Ukrainian parliament – voted supporting the bill in a new vote on February 17.
On the other side, experts have also expressed concern that Russia may use cryptocurrency to circumvent international sanctions.
While cryptocurrency wasn’t previously illegal in Ukraine, officially recognising and regulating the currency opens up new avenues for trade and taxation. According to crypto payment platform TripleA, around 12.7 percent of Ukraine’s population owned cryptocurrency before Russia invaded.
Of course, most Ukrainians likely have other concerns that take priority over learning how cryptocurrency works right now.
