Ukraine Prepares To Make Cryptocurrencies Legal

Ukraine Prepares To Make Cryptocurrencies Legal

According to a Facebook post by a Ukrainian member of parliament, Alexei Mushak, in the late hours of Tuesday, May 15, 2018, the country is set to legalize cryptocurrencies.
The legislator, Mushak also made available a copy of the draft legislation document, encouraging citizens of Ukraine to express their unreserved opinions on the terms of the proposal for the crypto market. The post reads:

”We go to the home stretch to create conditions for digital tokens and cryptocurrency in Ukraine. This is the outcome of many meetings and work of many people. There are many more nuances left to figure out. The final version will be ready in two weeks. I ask you to comment and edit. The thoughts of market practitioners are especially important.”

The document states that the Ukrainian legislature intends to promote a ”Free and Transparent” digital asset market in the country.
Outlining the rules for storage, usage, and exchange of cryptocurrencies, the blockchain, and smart contracts at a state, organizational, and individual level within the country.
It proposes regulatory measures for preventing cryptocurrencies to be used for crime financing, money laundry, and other criminal activities that will not contribute positively to the growth and development of the country.
The document also advocates for the use of blockchain also known as Digital Ledger Technology (DLT) – to be utilized in public institutions such as healthcare, public relations, and education as its main areas of interest.
Since the document was posted on Facebook, the draft legislation has drawn various comments from Ukrainians. A reader suggested that the legislature in the country should regulate the Initial Coin Offerings (ICOs) separately to other digital assets because the ”widespread fraud” in the ICO space has caused a general distrust of the crypto sphere in the country.
Mushak responded that there is as yet little consensus in the Ukrainian parliament as to how ICOs will be treated, stating the concern that strict measures could stifle the development of the crypto market.
This is coming few weeks after the Ukrainian National Securities and Stock Market Commission (SSMCS) announced early May 2018 that it would consider taking into cognizance cryptocurrencies as a financial instrument, stating that crypto regulations would need to be considered on a National level due to the fact that ”International standards” are still ”a long way off”.