Crypto Overview in Ukraine

Regulatory data is for informational purposes only and may not reflect the most current legal developments. Always consult qualified professionals before making decisions.

Legal Classification and Regulatory Framework

Cryptocurrency Status

Ukraine’s foundational crypto law, Law No. 2074-IX “On Virtual Assets,” was adopted by the Verkhovna Rada on 17 February 2022 and signed by President Zelenskyy on 15 March 2022. The law classifies cryptocurrencies as “virtual assets,” defined as intangible property stored and transferred via distributed ledger technology. Virtual assets are not legal tender and cannot be used for payment within Ukraine.

Despite being on the books since 2022, Law 2074-IX has not entered into force. Activation was conditional on complementary Tax Code amendments, which parliament had not enacted as of May 2026. The key vehicle for those amendments is Draft Law No. 10225-d, registered 24 April 2025 by finance committee chair Danylo Hetmantsev. It passed the Verkhovna Rada in its first reading on 3 September 2025 with 246 votes and was being prepared for a second reading as of May 2026. Until that second reading is finalised, no formal VASP licensing regime is operational and no entity can apply for an authorisation.

Draft Law 10225-d is explicitly aligned with the EU’s Markets in Crypto-Assets Regulation (MiCA). It classifies virtual assets into three categories: asset-referenced tokens, e-money tokens, and other virtual assets. Unsecured assets such as Bitcoin and Ether fall under the jurisdiction of the National Securities and Stock Market Commission (NSSMC, Ukrainian: Національна комісія з цінних паперів та фондового ринку, НКЦПФР), while assets with currency values fall under the National Bank of Ukraine (NBU). The Ministry of Digital Transformation (MinDT) holds supervisory powers over VASPs for AML purposes.

Tax Treatment

Ukraine currently has no bespoke virtual asset tax regime, because Law 2074-IX and Draft Law 10225-d have not yet taken full effect. Under the framework proposed by Draft Law 10225-d, individuals would pay 18% personal income tax (PIT) plus a 5% military levy on virtual asset profits, calculated as the sales price minus the acquisition cost for the year. The military levy was raised from 1.5% to 5% for most personal income types by Law No. 4015-IX, effective 1 December 2024, for the duration of martial law.

A transitional rate applies to virtual assets acquired before the law’s entry into force: if those assets are sold during 2026, the applicable PIT rate is reduced to 5% (with the 5% military levy remaining), yielding a combined rate of 10%. Several exemptions are built into the proposal: crypto-to-crypto exchanges are not taxable events; annual sales below the minimum wage threshold are exempt; and losses can be carried forward. VAT would be exempt for the issuance, placement, sale, exchange, and redemption of virtual assets, though NFTs and consulting services are excluded. VASPs would be required to register with tax authorities and report annually on transactions of Ukrainian residents, aligned with the OECD Crypto-Asset Reporting Framework (CARF) and the EU’s DAC8 Directive.

Regulatory Oversight

Ukraine uses a dual-regulator model under the proposed framework. The NSSMC serves as the primary market supervisor for most virtual assets, responsible for issuing authorisations, maintaining a register of approved platforms, and enforcing compliance. The NBU regulates virtual assets with currency values and oversees e-money token services. New NSSMC chair Oleksii Semeniuk assumed office in January 2025. The MinDT retains supervisory powers over VASPs for AML and counter-terrorism financing (CFT) purposes. Because Law 2074-IX has not entered into force, these regulatory structures are not yet fully operational.

Business Environment

Banking Relationships

Ukrainian banks have historically treated crypto-related transactions with caution, frequently blocking transfers flagged as potentially suspicious in the absence of clear regulatory guidance. The planned framework under Law 2074-IX and Draft Law 10225-d is designed to allow banks to open accounts for licensed crypto businesses and to enable both domestic and foreign exchanges to operate with formal banking access. The NBU has publicly described its orientation as crypto-compliant rather than crypto-restrictive.

The NBU is also developing the e-hryvnia, a central bank digital currency designed to complement cash and bank deposits. Pilot testing with real users in an open payment environment is at an advanced preparation stage, with selection of a private technology partner ongoing.

Innovation Support

Ukraine launched a regulatory sandbox for artificial intelligence and blockchain startups in late 2024 under Cabinet Resolution No. 1238. The programme, managed by the Ministry of Digital Transformation and the Ukrainian Startup Fund, offers compliance support, security testing, legal and technical assistance, and patent analysis. It runs through October 2026, with the government committing to propose legislative improvements based on results.

The Diia.City special legal regime, operational since 2022, provides significant tax advantages for qualifying IT companies, including crypto and blockchain businesses. Participants benefit from a 5% personal income tax rate for employees and a 9% corporate rate on qualifying transactions, compared to the standard 18% PIT and general corporate tax. The regime has attracted over 1,700 companies and more than 104,000 employees. Ukraine’s Diia platform, used by over 20 million citizens, is also exploring Web3 integration through the Diia.Engine project, and a blockchain-based land and property registry prototype has been built on Internet Computer Protocol and Polygon.

Crypto License in Ukraine

Ukraine does not have an operational VASP licensing regime as of May 2026. Law No. 2074-IX “On Virtual Assets,” which contains the licensing framework, has not entered into force because the required Tax Code amendments have not yet been enacted. Once Draft Law No. 10225-d completes its second reading and takes effect, formal authorisations will become available from the NSSMC and the NBU. Service providers that served Ukrainian residents before 31 December 2025 will have until 1 July 2026 to complete registration under the transitional rules.

Licensing Requirements

Under the framework established by Law 2074-IX (pending activation), VASPs must obtain permits from the NSSMC for four regulated activity categories: storage and administration of virtual assets or private keys; exchange services (VA-to-VA or VA-to-fiat); transfer services; and intermediary services. The NSSMC must issue a decision within 30 days of application, and permits are valid for one year. Minimum capital requirements differ by residency: EUR 12,500 to EUR 25,000 for resident entities, and EUR 62,000 to EUR 125,000 for non-residents. Non-resident permit fees are approximately five times higher than resident fees. Applicants must demonstrate adequate capital, technical infrastructure, and documented AML/KYC policies. VASPs connected to states classified as aggressors or occupying powers are prohibited from obtaining licences.

Authorised Activities

The planned framework covers the full range of VASP activity types aligned with FATF definitions and MiCA categories. Trading platforms seeking to operate in Ukraine under Draft Law 10225-d must disclose trading rules, identify participants, and implement market abuse prevention systems. Exchanges registered abroad will be permitted to serve Ukrainian users only if they undergo a simplified local authorisation procedure and are incorporated in the EU or in another country approved by the regulator. Crypto-to-crypto exchange activity, staking, and custody services are all contemplated within the four permit categories.

Application Process and Timeline

No applications can be submitted until the second reading of Draft Law 10225-d is finalised and Law 2074-IX takes force. When that occurs, applicants will file with the NSSMC (for non-currency VA) or the NBU (for currency-pegged VA), submitting documentation on capital adequacy, technical systems, internal compliance manuals, and ownership structure. The NSSMC has a 30-day statutory decision window. During 2026, enforcement sanctions for non-compliance are set at 10% of the standard fine level, rising to 25% during 2027 to 2029. The NSSMC is undergoing institutional restructuring to prepare for the new supervisory mandate, a process ongoing since 2024.

Market Characteristics

Adoption Patterns

Ukraine consistently ranks among the top ten countries globally for cryptocurrency adoption and is first in Eastern Europe on a per-capita basis. Approximately 6.5 million Ukrainians, representing 15 to 16% of the population, hold some form of virtual asset. The conflict that escalated with Russia’s full-scale invasion on 24 February 2022 accelerated adoption significantly: citizens turned to crypto for remittances, capital preservation, and cross-border transactions when traditional financial infrastructure was disrupted.

The Ukrainian government’s own engagement with cryptocurrency was immediate and high-profile. Within days of the invasion, official crypto donation wallet addresses were posted, and over 102,000 donations totalling approximately $54.7 million in digital assets (including Bitcoin, Ether, and USDT) were contributed to the government and partner NGOs such as Come Back Alive, per Elliptic blockchain analytics. Additional NFT donations of around $190,000 were also received. Funds were deployed for humanitarian and defence purposes including protective equipment and drone procurement.

Industry Focus

Ukraine’s crypto sector is built on the country’s substantial IT talent base, which has long supplied blockchain developers to both domestic projects and global firms. WhiteBIT, founded in Kharkiv in 2018, is the largest Ukraine-origin exchange and has positioned itself as the largest European crypto-to-fiat platform. It became an official payment processor for President Zelenskyy’s United24 donation fund and has donated approximately $11 million of its own funds to Ukrainian defence and humanitarian causes since 2022. In January 2026, Russia designated WhiteBIT and its parent W Group as “undesirable organisations,” citing its support for Ukraine. Kuna, another Ukraine-based exchange, also remains active. Everstake, a Ukrainian staking infrastructure company, partnered with the government on the official donation wallet infrastructure in 2022.

Key areas of domestic activity include exchange services, blockchain development, DeFi applications, and public administration technology. The Diia.City regime specifically attracts blockchain companies, and the blockchain property registry project signals ambition to apply distributed ledger technology to land and estate administration.

Regulatory Evolution

Ukraine’s regulatory trajectory is closely tied to its EU candidate status, granted in June 2022. Both Law 2074-IX and Draft Law 10225-d are explicitly designed to align with MiCA. VASP reporting obligations are being structured to comply with CARF and DAC8. Ukraine is a MONEYVAL member; its last mutual evaluation noted virtual asset supervision as an area requiring improvement. The AML/CFT framework, administered by the SFMS (Держфінмоніторинг), has applied to VASPs since 2020, requiring customer due diligence, record-keeping, suspicious transaction reporting, and compliance with targeted financial sanctions. The regulatory sandbox supports blockchain startups in preparing for MiCA conformity, and the Diia.Engine project represents the government’s own investment in distributed ledger applications for public services.