Crypto draft bill passes second reading in Ukraine 

Ukraine is inching closer to officially legalize the use of cryptocurrencies. A draft law that aims to recognize cryptocurrencies and digital tokens has finally passed second reading in the Ukrainian parliament. 

As of today, cryptocurrencies in the country are neither allowed nor prohibited, which puts these virtual assets in limbo and prevents them from progressing in the country. 

According to reports, 276 Ukrainian lawmakers voted for virtual asset bill 3637, which would set the stage for a regulatory framework and wider adoption. 

Once Ukrainian President Volodymyr Zelensky signs the law, the government can finally provide strong protection for investors and exchanges from various crypto frauds. 

Ukraine getting ready for cryptocurrencies

In a statement released by the Ministry of Digital Transformation, the country aims to open the cryptocurrency market for businesses and investors next year. 

This goal is indeed big and requires major implementations and adjustments to make it possible. One of the actions that the government must take includes passing crypto-focused laws and amending its Tax Code and Civil Code. 

“It defines virtual assets as intangible assets expressed in a form of electronic data. It also explains what a wallet for virtual currency and a private key is ー these terms have never been used in Ukraine’s legislation,” one report said. 

Crypto specifics

If the draft law becomes a law, cryptos can finally be legal in Ukraine, but unlike how cryptocurrencies can be used in other countries, the law is clear that cryptos cannot be used by citizens as payments for goods and services. 

But the law would allow crypto exchanges and other crypto-related businesses to operate in the country. The government hopes that by opening the country for cryptocurrencies, it can attract more investments and uplift its economy.

The Zelensky administration also plans to create a regulatory body that would oversee cryptocurrency operations in the country. 

Image courtesy of Cointelegraph News/YouTube

Source: https://bitcoinerx.com/blockchain/crypto-draft-bill-passes-second-reading-in-ukraine/