Ukraine, in its first major milestone en route to greater crypto adoption, approved a bill to legalize all virtual financial assets- including Bitcoin and other cryptocurrencies- last Wednesday. The bill needs to be signed into law by President Volodymyr Zelensky.
President Volodymyr Zelensky and state officials have lately been promoting Ukraine as a new crypto hub to investors and venture capital funds in Silicon Valley. The country is planning to open its cryptocurrency market to businesses and investors by 2022.
Mykhailo Fedorov, Ukraine’s Vice Prime Minister of Digital Transformation, sums up their mission as follows: “The development of a new industry will allow attracting transparent investments and will strengthen the image of our country as a high-tech state.”
Ukraine has 15 nuclear reactors that it could mine #Bitcoin with.
Will this become the second nation to adopt Bitcoin as legal tender? 👀 pic.twitter.com/duDR4R46X6
— Bitcoin Magazine (@BitcoinMagazine) September 13, 2021
Currently, Ukraine relies heavily on nuclear energy. The country’s 15 nuclear reactors can be used to mine Bitcoin and make for a splendid mining strategy. Westinghouse Electric Company, based in the United States, is selling fuel to Ukraine which receives a significant portion of its nuclear services and fuel from Russia.
A new nuclear-powered mining strategy and more diversification of nuclear fuel sources can benefit Ukraine and, to a degree, free it from Russian influence, at least on the economic side of things.
What’s In the New Legislation?
The recent bill does not elevate Bitcoin and other cryptocurrencies on par with hryvnia, the national currency. The Verkhovna Rada, Ukraine’s Parliament, all but unanimously approved legislation that defines crypto terminology such as “digital wallets” and “private keys” and establishes some fraud protection for owners of crypto assets and exchange platforms.
Drafted in 2020, the bill passed with 276 votes and six against.
Ukrainian authorities were preternaturally suspicious of cryptocurrency-related transactions, seizing equipment without grounds and shutting down businesses for their crypto affiliations. As cryptocurrency crimes increase everywhere, the Ukrainian government is putting basic regulations in place, boosting transparency and awareness of crypto as a powerful financial tool with long-term staying power.
Worldwide Recognition of Crypto
Ukraine, where crypto was previously in a legal gray area, is one of several countries lifting crypto to the light. Cuba recently legitimized cryptocurrencies and El Salvador holds Bitcoin. In El Salvador, Bitcoin is also officially legal tender.
Jeremy Rubin, CEO of a Bitcoin R&D lab named Judica, skeptical of political promises and new laws in Ukraine and elsewhere, proclaimed:
“Ukraine’s improved legal status for bitcoin is a laudable symbolic measure that we progress towards a world that respects individual rights universally. But it is only symbolic — bitcoin seeks neither permission nor forgiveness in its mission to protect persecuted communities from unjust governments.”
Still, countries ought to be given well-deserved credit for stepping up, incorporating cryptocurrencies into their policies, and writing them into being to be properly documented. They’re actively unlocking a future that supports new crypto initiatives and invites advancement on a global scale.
It takes a government for cryptocurrencies to be widely recognized for the good they can do for folks and institutions around the world.
What’re your thoughts on the matter? As always, feel free to comment on and share this content.