Ukraine the Latest Country to Introduce a Bitcoin Bill

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After El Salvador made Bitcoin legal tender 10 days ago, many countries have pondered the same move. There have been several that went down that road in the past month or so, and Ukraine is now officially on the list.

Thanks to a new bill that should soon be signed by Ukraine’s president, Bitcoin is now officially recognized and legal in Ukraine. So far, it was set in a legal grey area like in most European countries. With the new bill, cryptocurrencies including Bitcoin are now regulated, although it’s not an official form of payment like in El Salvador.

Citizens Are Now Permitted to Trade Bitcoin

For a long time, Bitcoin was neither legal or illegal in Ukraine. Like in most European country, Ukraine had no legal recognition of Bitcoin. Those who owned and traded it did so at their own risk, and any Bitcoin establishments were treated as a scam. Many were raided and their businesses shut down, so there was a clear need for clarification on cryptos.

It may have taken the government a while, but the bill is finally here. With the new bill that has passed the government level, Bitcoin and cryptocurrencies are legal in Ukraine. The country’s citizens now have the permission to trade BTC and other cryptos at legal exchanges, with the bill also regulating wallets and private keys.

Ukraine becomes the 5th country in as many weeks to legally recognize cryptocurrencies. The parliament has plans for new tax and civil codes that should be introduced so the market can be officially open. In that way, crypto businesses and investors can come to Ukraine and blow the lid off the crypto market.

The bill was passed with a unanimous vote on Wednesday and only needs President Volodymyr Zelensky’s signature in order to be fully adopted.

Not a Legal Form of Payment

While many think otherwise, Ukraine’s crypto law doesn’t make Bitcoin a legal form of payment like El Salvador did. It simply recognizes cryptocurrencies and gives citizens the right to trade it, but it won’t be accepted as a payment method in the country.

It’s still a step in the right direction. In order to thrive, Bitcoin and cryptocurrencies need clear laws, but not too many of them. Imposing a lot of legal restrains on cryptocurrencies is destroying everything they stand for. Ukraine’s lawmakers know that and have constructed a great bill that opens up new possibilities for the European country.

It’s great news for all Bitcoin traders and investors, and should draw businesses to the country. While it’s still a far way off, Bitcoin aims to become a global reserve currency. When such a thing comes, it would be a shame for countries not to reap the advantages due to over-regulation. The time to make a change is now, and Ukraine surely had the future in mind when the government drafted the bill.

It remains to be seen how popular Bitcoin will eventually become in the European country and if it’ll inspire others to follow the same road.

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September 15, 2021: • No Comments

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