Ukraine's Central Bank Opposes Current Crypto Bill, Calls for Amendments Before Final Vote

Odaily reports: The National Bank of Ukraine (NBU) has stated that it does not support the current version of the draft law on the legalization and regulation of crypto assets, and is calling on lawmakers to continue amending it before the final vote. The NBU supports advancing regulation with reference to the EU's Markets in Crypto-Assets Regulation (MiCA) and IMF recommendations, but believes that Draft Law No. 10225-d still fails to address its key concerns. It also noted that the final text was only delivered on Tuesday evening, leaving insufficient time for review and reflecting a lack of transparency in the legislative process.

The NBU warns that foreign tokens not adequately regulated in their issuing jurisdiction could enter Ukraine, some of which may function as electronic money, threatening monetary sovereignty and financial stability, and circumventing requirements applicable to comparable domestic assets. The NBU wants the authority to assess and, where necessary, restrict their use. Regarding market access, the NBU said a compromise had previously been reached to initially select three crypto trading platform operators through competition, but the final draft leaves the number of admissions for the first five years to the discretion of the securities regulator, raising concerns about monopoly and corruption risks. Under the draft, the National Securities and Stock Market Commission of Ukraine would become the primary regulator, existing crypto assets would be subject to a 5% transitional tax rate until the end of 2028, and transactions between crypto assets would be explicitly tax-exempt.