Ukrainian Lawmakers Agree to Settle on Bitcoin's Legal Status in 3 Weeks

Ukrainian lawmakers met on Thursday to discuss cryptocurrency regulation. They have agreed to settle on the legal status of bitcoin in three weeks.

Also read: Three Ukrainian Lawmakers Declare Bitcoin Holdings Worth $47 Million

Ukrainian Lawmakers Discuss Bitcoin

The Ukrainian Cabinet of Ministers on the Financial Stability Board met on Thursday to discuss the issue of cryptocurrency regulation, local news outlet Nv.ua reported based on Facebook posts by participants. Particularly, they engaged in a debate about the legal status of bitcoin and other cryptocurrencies. The Cabinet of Ministers is the highest body of state executive power in the country.

“Everyone understands the importance of blockchain and cryptocurrency as innovative technologies, the importance of developing the industry, protecting against illegal actions by various bodies and reasonable regulatory support,” Deputy Chairman of the National Bank of Ukraine (NBU) Council Tymofiy Mylovanov explained.

The Chairman of the National Securities and Stock Market Commission (NSSMC), Timur Khromaev, added:

The question of blockchains, bitcoins, tokens and other technology solutions have already become an integral part of the financial market. Our task is to provide the corresponding legal status of these instruments in the Ukrainian financial market.

Bitcoin’s Legal Status Due in 3 Weeks

Oleksiy Mushak, People’s Deputy from the Petro Poroshenko Bloc political party, revealed that the ministers “promised to regulate the status of bitcoin,” adding that “my impression of the meeting is more positive than fears.” He detailed on Facebook:

There will be a common position of the NBU, the Ministry of Finance, the NSSMC and other regulators in this regard. It was even a desire to announce now that bitcoin and blockchain are not evil and not forbidden. But they decided to take 3 weeks…to be more thorough. A common position will be published on the sites of all regulators.

Olexandr Danchenko, People’s Deputy of the Verkhovna Rada, explained that participants have agreed to work with the Ministry of Finance, the NBU, the Parliament and the blockchain community “in the next 3 weeks after which it is possible to expect a positive signal for the market.”

Central Bank’s Comment on the Meeting

After the Financial Stability Board’s meeting, the NBU commented on the current legal status of bitcoin. NBU acting head Yakiv Smoliy said during the bank’s presentation that the central bank neither recognizes bitcoin nor prohibits bitcoin mining, reported Unian news agency.

He elaborated that bitcoin currently does not fit into any definition the bank has such as currency, money surrogate, or electronic money. Citing that bitcoin does not have a centralized issuer but is traded as a commodity, he said,“we believe that it is not a currency.”

“We cannot determine what it is today,” he declared, noting that the regulators will find its definition within the framework of the Financial Stability Board as soon as possible, the publication conveyed.

What do you think will be the legal status of bitcoin in Ukraine? Let us know in the comments section below.

Images courtesy of Shutterstock, NBU, Olexandr Danchenko and Oleksiy Mushak

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