Ukraine adopts new law to legalize and regulate Bitcoin

Ukraine has joined the list of countries that are incorporating Bitcoin into its economy by developing clear laws.
The new laws will protect crypto holders against fraud and introduce crypto terminologies into Ukrainian law.

Ukraine is the latest country to legalize Bitcoin and infuse the crypto regulations in its law. Bitcoin is continually growing in popularity, and global adoption as countries begin to see the No 1 crypto as digital money. Apart from Ukraine, four other countries have included Bitcoin laws to guide the cryptocurrency market. The virtual law on virtual assets was passed on the 8th of September, 2021. A total number of 276 lawmakers voted in support of the bill.

Ukraine adopts law to support cryptocurrencies

As Bitcoin’s global adoption continues, Ukraine has become the fifth country to adopt a law that legalizes and regulates the crypto asset. The Bitcoin bill, which has been in motion since last year, is now about to land on the desk of the country president, Volodymyr Zelensky.

Before the Ukraine Parliament adopted a law to legalize Bitcoin, the cryptocurrency existed in a legal grey area. There were no clear rules governing BTC and other cryptocurrencies in the country. As such, citizens found it difficult to involve themselves in crypto assets. Until now, locals could buy and exchange virtual currencies. However, law enforcement kept a close watch on companies and exchanges involved in crypto.

A report revealed that Ukraine is considering opening the crypto market for business in the coming year. According to one source from the Ministry of Digital Transformation, the Ukraine Parliament needs to enact certain laws. These laws need to be on the ground before the crypto business commences. Also, the Parliament is required to amend the Civil Code and Tax Code to suit the new development.

In addition, the report noted that Ukrainian authorities have been antagonistic to virtual cash. The authorities believed digital cash was a scam, hence clumped down on crypto-related businesses. These businesses suffered the loss of equipment that was confiscated by the Ukrainian authorities. For instance, the Security Service of Ukraine (SBU) blocked a network of “clandestine cryptocurrency exchanges” in the capital city of Kyiv. The SBU claimed that the exchanges were aiding money laundering and anonymous transactions.

New Ukraine law to protect Bitcoin holders

Now, the new law will protect holders of Bitcoin and altcoins against fraud. Also, lawmakers have taken a step to define terminologies used in the crypto space. If the president approves the bill, the government will incorporate core terminologies such as digital wallets, private keys, virtual assets into Ukrainian law.

President Zelensky said on an official state visit to the US in September that the virtual assets market would be a selling point for investment.

Jeremy Rubin, the founder of Judica, a Bitcoin R & D Lab, also commented on the matter. He said:

Ukraine’s improved legal status for bitcoin is a laudable symbolic measure that we progress towards a world that respects individual rights universally. But it is only symbolic – bitcoin seeks neither permission nor forgiveness in its mission to protect persecuted communities from unjust governments.

Source

Text source: MCC.EXCHANGE

Bitcoin (BTC)