• Ukraine will become the world’s best jurisdiction for crypto assets, according to the country’s Minister of Digital Transformation Mykhailo Fedorov.
• Crypto donations were „critically helpful“ during early stages of Russia’s military invasion, Fedorov said.
• The government is developing the necessary legal framework for the full legalization of cryptocurrencies.
Ukraine is set to become the world’s best jurisdiction for crypto assets, according to the country’s Minister of Digital Transformation Mykhailo Fedorov. Speaking to media at the World Economic Forum in Davos, Switzerland, Fedorov praised the support from the crypto community for his war-struck nation. He highlighted that during the early stages of Russia’s military invasion, donations through cryptocurrency were „critically helpful to Ukraine.“
The Ukrainian government is now hard at work developing the necessary legal framework for the full legalization of cryptocurrencies. A law „On Virtual Assets“ was passed by the Verkhovna Rada, the Ukrainian parliament, in mid-February. To come into full force, amendments to the Tax Code are also needed. Once they are adopted, Ukraine will have the best crypto jurisdiction in the world, Fedorov insisted. He further pointed out that Ukraine is a candidate for EU membership, and therefore has to harmonize with European law, taking into account the practices and recommendations of the IMF and the World Bank.
The Vice Prime Minister and Minister of Digital Transformation also marked that he would like to be paid in Ukraine’s digital currency, the e-hryvnia, if it becomes available. This would signify that the government has fully embraced the technology and the new asset class.
Fedorov’s comments highlight the fact that the Ukrainian government is taking a progressive stance on cryptocurrency and blockchain technology. It is hoped that the adoption of these new technologies will help propel the country’s economy forward, improve its infrastructure and create new jobs. With the right legal framework and the right incentives, Ukraine could become a major player in the global crypto industry.