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The officials have prepared a corresponding concept with a deadline set for 2021.
The Ministry of Economic Development and Trade of Ukraine is initiating the adoption of the Concept of state policy in the field of virtual assets, aimed at creating clear conditions for conducting operations in the field of virtual assets and virtual currencies (cryptocurrencies) for their legalization.
According to the by the economy ministry's press service, the concept proposes to define at the legislative level the basic terms relating to “virtual currency” (“cryptocurrency”), “virtual assets,” “ICO/ITO,” “mining,” “smart contract,” and “token.” The Concept is set to be implemented in two stages, before 2021.
At the first stage, in 2018-2019, it is proposed to determine the legal status of cryptocurrencies, as well as to recognize business entities providing services for the exchange of cryptocurrencies for traditional currencies and back.
At the second stage, in 2020–2021, it is envisaged to recognize the providers of virtual currency keepers as primary financial monitoring entities and to develop special legislation to regulate the use of virtual assets, smart contracts, and tokens.
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“The implementation of the Concept will allow, in particular, protecting the rights of consumers in the field of virtual assets and virtual currencies, and legally classifying such activities. Market participants will have the opportunity to use banking services, officially attract foreign investment, conduct ICO/ITO as Ukrainian companies, enter into smart contracts, and carry out barter transactions to exchange goods (services) for virtual currencies,” the report reads.
The Ministry of Economic Development noted that the legalization of cryptocurrency will increase revenues and foreign exchange in Ukraine, as well as create new high-paying jobs.
As UNIAN reported earlier, the total volume of the mining segment (a process that allows "emitting" cryptocurrency) in Ukraine exceeds $100 million per year. The head of the Verkhovna Rada Committee on Informatization and Communication, Oleksandr Danchenko, late January called on the government to promote the development of mining in Ukraine, separating these operations from legislative regulation of cryptocurrencies.