Authored under the guidance of committee chair Danylo Hetmantsev (Servant of the People), the 200‑page proposal sets out a full framework for regulating, taxing, and supervising cryptocurrencies in Ukraine.
Key Provisions of the Draft Law
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Profit‑Based Taxation:
• Taxable income equals the difference between proceeds from crypto asset sales and acquisition costs during the tax year.
• Standard income tax rates will apply to net gains. -
One‑Year Transition Rate:
• Individuals may sell and declare crypto‑income at a 5% flat rate without needing to substantiate historical purchase costs. -
Regulatory Structure:
• Defines the roles and responsibilities of the National Bank of Ukraine, the National Securities and Stock Market Commission, and other bodies in licensing, emissions control, and financial monitoring.
• Introduces mandatory KYC/AML standards for crypto service providers. -
Circulation Rules:
• Establishes legal status for tokens and electronic money under Ukrainian law.
• Sets registration and reporting requirements for issuers, exchanges, and custodians.
Timeline and Next Steps
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April 24: Committee consideration of the draft in its first reading.
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Summer 2025: Target for full parliamentary adoption, in line with earlier plans to legalize crypto assets by mid‑year.
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Implementation: Following passage, a phased enforcement schedule will allow businesses and individuals to align systems and processes.
Why It Matters
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Fills Legal Void: Ukraine currently lacks a unified regulatory regime for cryptocurrencies, ranking 6th globally in crypto adoption yet operating in a legal gray area.
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Boosts Transparency: Clear taxation rules and licensing will help curb tax evasion and integrate crypto into the formal economy.
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Aligns with International Standards: The bill draws on European MiCA best practices, strengthening Ukraine’s path toward digital finance integration.
Context
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Current Status: Cryptocurrencies are neither recognized as legal tender nor explicitly banned—transactions proceed under general civil‑law provisions.
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Industry Impact: Over 200 blockchain and fintech firms in Ukraine await clear rules to scale services, attract foreign investment, and ensure consumer protection.
