Ukraine allows partial adoption of MiCA rules in the initial phase

For a full launch of Ukraine’s crypto industry, it is sufficient to adopt only the basic, most important MiCA provisions. This was stated by Deputy Minister of Digital Transformation Alexander Bornyakov.

Should Ukraine fully adopt the EU’s MiCA regulations on crypto assets? That was the key discussion point at the ETH Kyiv meetup. I believe implementing only crucial provisions to facilitate crypto business adaptation to our jurisdiction’s regulatory framework is the right way pic.twitter.com/11GEESbqfM

— Alex Bornyakov (@abornyakov) May 22, 2023

According to him, because the country has gained candidate status for EU membership, it is obliged to adapt its cryptocurrency legislation in line with the European market regulation framework.

However, for faster adaptation of business in the initial phase, it may be possible to postpone the adoption of some provisions of this law, prioritising the gradual introduction of new regulatory mechanisms.

“This will allow the market to grow, and Ukrainian crypto business will have enough time to adapt to the new regulatory requirements. Thus, our legislation will already partially conform to European standards, which will help avoid over-regulation of the crypto sector,” — wrote the official.

Bornyakov also confirmed the ministry’s plans for the swift launch of a legal crypto market in Ukraine.

Earlier, on May 16, the Council of the European Union, comprising 27 member states, unanimously approved the MiCA bill. EU member states also approved new measures to combat money laundering.

the ‘On Virtual Assets’ law adopted in Ukraine, authorities intend to amend it to reflect the new European rules.