Ukraine will update its encryption framework in consultation with global experts

The Virtual Asset Regulatory Advisory Council, which is dedicated to updating the crypto framework in Ukraine, tenuous its first meeting on 1 December.

Hosted by the National Securities and Markets Commission, the council discussed amendments to virtual asset legislation in an effort to steer the national tax code toward crypto regulation.

Representatives of the President’s Office, the National Bank of Ukraine, expert organizations and the market community attended the event. The Ukrainian regulatory community is working closely with international experts on the project, including global consultancy Ernst & Young and USAID’s Financial Sector Reform Project.

MiCA regulation will be adopted for the Ukrainian crypto market

According to Ruslan Magomedov, Chairman of the National Tax Agency of Ukraine, Ukrainian regulators were working on the implementation of European crypto-asset markets (MiCAs) in the Ukrainian virtual asset market.

Ukrainian Member of Parliament Yaroslav Zheleznyak said:

“The goal is simple – to make the circulation of crypto in Ukraine legal and safe, but on a ‘do no harm’ principle.

The market also received development incentives and competitive advantages rather than regulation.

President Volodymyr Zelensky sign the “On Virtual Assets” law earlier this year. The bill established the National Securities and Stock Market Commission of Ukraine and the National Bank of Ukraine as the main regulators of the crypto market.

Ukraine has a clear roadmap to Web 3.0 adoption

Last month, pro-crypto Ukrainian lawmakers and public syndicate Virtual Assets of Ukraine (VAU) unveiled a common roadmap for the promotion and development of Web3.

The roadmap provided for the establishment of a regulatory sandbox for blockchain and Web3 projects. It also included the creation of a national blockchain-backed land and real estate registry, as well as the inclusion of Ukraine in the European Blockchain Partnership.

At the time of this writing, the National Bank of Ukraine was also considering an electronic version of the Ukrainian hryvnia to facilitate the exchange and issuance of virtual assets. The bank then discussed the country’s sovereign currency with representatives of banks and non-bank financial institutions.