Ukraine has become one of the most progressive countries in Eastern Europe in shaping a legal framework for virtual assets. Since 2021, the country has moved from informal tolerance of cryptocurrencies to creating a structured and transparent system of regulation aligned with European standards.
2021 – 2022: Legal Recognition of Virtual Assets
On September 8 2021, the Verkhovna Rada of Ukraine adopted the Law “On Virtual Assets,” marking the first official recognition of cryptocurrency in the country’s legislation.
The law defined the concept of virtual assets, determined ownership rights, and allowed individuals and businesses to declare and trade them legally.
In February 2022, the Rada passed the final version of the law (No. 2074-IX). It designated the National Bank of Ukraine and the National Commission on Securities and Stock Market as the primary regulators. However, the law did not enter full force until amendments to the Tax Code were introduced — a step necessary to establish taxation rules and regulatory supervision for virtual asset service providers (VASPs).
2023 – 2024: Implementation Challenges and Tax Drafts
During 2023 and 2024, the Ministry of Digital Transformation and the Ministry of Finance worked on draft tax rules defining how profits from virtual asset transactions would be reported and taxed.
Discussions focused on aligning Ukraine’s system with the European Union’s Markets in Crypto-Assets (MiCA) regulation, as part of the country’s EU integration commitments.
Although no comprehensive framework was yet adopted, interim policies allowed exchanges and wallet providers to operate under general financial and anti-money-laundering standards. This period also saw rapid growth in domestic crypto adoption, use of stablecoins for cross-border payments, and rising private investments in blockchain technology.
2025: Transition to a Regulated Crypto Market
In 2025, Ukraine took decisive steps toward full regulation of the crypto sector.
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June 2025 – Draft Bill No. 13356
The Verkhovna Rada registered a bill authorizing the National Bank of Ukraine to acquire and hold cryptocurrencies as part of the national reserves, alongside gold and foreign currency. This marked the first formal proposal to recognize digital assets as potential strategic reserves, reflecting both economic modernization and wartime financial resilience. -
September 2025 – Bill No. 10225-d
The parliament approved in first reading a comprehensive framework for the taxation and licensing of virtual assets and their service providers.
The draft defines three categories of virtual assets — asset-backed tokens, e-money tokens, and other virtual assets — and sets out obligations for VASPs, including registration, annual reporting, and KYC/AML compliance.
The bill proposes taxation of profits from virtual asset transactions at 18 % personal income tax, plus a 5 % military levy for conversions into fiat currency during the first year, while virtual-to-virtual trades remain exempt.
Together, these measures mark Ukraine’s transition from recognizing cryptocurrencies to actively regulating and integrating them within the country’s financial system.
Current Status and Outlook
By late 2025, cryptocurrency in Ukraine is legal and recognized as property, though not legal tender.
The hryvnia remains the sole official currency for settlements, yet individuals and companies are free to own, exchange, and trade digital assets.
The government aims to fully implement the law “On Virtual Assets” once the tax code amendments are enacted. These steps are expected to ensure compliance with EU financial-transparency standards and to attract foreign investors operating in the blockchain and fintech sectors.
