It became known how Ukraine will control the use of cryptocurrencies

Given the growing interest in digital assets in Ukraine, since the beginning of November, the Verkhovna Rada has registered 2 draft laws related to cryptocurrencies. As reported by Delo.ua, MPs submitted bills on taxation of transactions with virtual assets and the creation of a mechanism to control crypto exchanges.

The first draft law No. 10 225 on amendments to the Tax Code of Ukraine to regulate the turnover of cryptocurrencies in Ukraine was registered by MP Oleksandr Sova. The draft law provides for an 18% tax on investment income and a 1.5% military duty. The National Securities and Stock Market Commission (NSSMC) was engaged in the conceptual development of this document.

According to experts, the ideal formula for regulating cryptocurrencies consists of a balance of the interests of society and the state. According to the NSSMC experts, excessively strict «rules of the game» may negatively affect the development of the virtual asset market and blockchain technologies. On the other hand, broad «self-regulation» of the market can cause significant damage to investors whose assets must be protected.

The second, alternative draft law No. 10 225−1 was registered by MP Anton Shvachko. The Ministry of Digital Transformation worked on its development together with business. The document provides for tax conditions for businesses operating in the field of virtual assets, said Minister of Digital Transformation Mykhailo Fedorov.

According to the Deputy Prime Minister, the draft law provides for «simple and clear tax conditions for businesses» operating in the field of virtual assets. The document provides for a 5% personal income tax for the first three years, a 9% tax rate for the next five years, and an 18% tax rate after eight years.