The Ukrainian President Zelensky returns the law about virtual assets to parliament - regulation

The Ukrainian President has returned the recently passed law "about virtual assets" to the Werchowna Rada, the legislator of the country. The head of state has made his own proposals and spoke out against the establishment of a new regulatory authority that would require additional financing.

The establishment of a new regulatory authority for the cryptom market is expensive, warns Zelensky

ukrainian parliament accepted the long-awaited law" about virtual assets "in early September Draft law in the second and last reading approved. The law, which is to regulate the crypto-related activities in the country, was adopted in the first reading last December and then revised demonstrated again in the Rada.

In order to enforce the new legislation, the authorities in Kiev have to change the tax code and make the president sign the law on virtual assets. However, Volodymyr Selenskyj has decided to return it to the Ukrainian MPs and to request certain changes.

In addition to the introduction of important legal definitions in relation to cryptocurrencies such as "financial virtual assets", the document also assigns responsibilities between government institutions, which are expected to monitor the circulation of digital assets under the jurisdiction of Ukraine. If, for example, the assets are backed up by currencies, they are regulated by the National Bank of Ukraine (NBU), and if the underlying asset is a security, the National Securities and Stock Market Commission (NSSMC) is commissioned to the task.

The law "About virtual assets" also provides for the establishment of a new regulatory authority for the cryptom market that the executive is subordinate. According to Selenskyj, this would "require significant expenses from the state budget", the Ukrainian presidency in a target = "_ blank" explained "https://www.president.gov.ua/news/glava-derz-povernuv-do-zakon-pro-kon-70949" Rel = "noopener"> Announcement Determination of his motifs to request further revisions of the draft law. The head of state suggests that instead the NSSMC takes on these tasks.

The newly adopted law recognizes virtual assets as intangible goods and divides them into two main categories: secured and unsecured. In Ukraine, cryptocurrencies are not accepted as a legal means of payment and their direct exchange for other goods or services is not permitted.

The draft law introduces a license system for crypto service providers, which means that stock exchanges and other platforms for digital assets require approval by the Ukrainian Ministry of Digital Transformation in order to act in the Eastern European nation. Legislation does not determine the legal status of mining, but also does not prohibit it. The upcoming tax changes will deal with the accounting procedures that apply to the various crypto -related activities.

Do you expect the Ukrainian legislator to accept President Selenskyj's proposals and change the law "about virtual assets"? Let us know in the comment area below.

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