The Rada will finally start legalizing cryptocurrencies next week

On August 19, the Ukrainian parliament will finally begin consideration of the first reading of the draft law No. 10225-d on the legalization of the virtual asset market. The document has already passed the relevant committee and is recommended for adoption as a basis for further work. In addition, by October of this year, the distribution of regulatory powers should be determined on the basis of the European directive MiCA.

The adoption of the law is expected to help streamline the circulation of crypto assets in Ukraine.

Key provisions of the draft law:

• defining a virtual asset as a special type of digital property that exists thanks to blockchain technology. Virtual assets are currently not money and cannot be used as an official means of payment. However, it is envisaged that e-money tokens will be identified with electronic money within the meaning of the Law of Ukraine “On Payment Services”.
• Classification of assets into three categories: asset-linked tokens, electronic money tokens (stablecoins), and other virtual assets, the list of which will be determined by the regulator.
• Ownership rights will be confirmed by cryptographic keys; there will be a presumption of legitimate ownership.
• A public offering of virtual assets will require a «white paper» with full and truthful information about the asset and risks.
• Cryptocurrency service providers must be authorized and provide customer protection.
• It provides for measures against market manipulation, insider trading and illegal disclosure of information.
• Taxation: a separate regime for income from cryptocurrency transactions, taxation of profits only, tax exemption in some cases, and a preferential personal income tax rate of 5% for assets acquired before the law came into force in 2026.

Source: Danylo Hetmantsev