Ukraine Puts Forth Forward-Thinking Policy on Crypto Mining

Michael LaVere
  • Ukraine's Ministry and Committee of Digital Transformation has announced new policy towards crypto-assets and mining.
  • Committee says mining does not require government oversight and can be regulated by network participants. 

The Ministry and Committee of Digital Transformation of Ukraine has put forth a forward-thinking proposal for regulating cryptocurrency mining. 

According to the release published Friday, Ukraine is embracing the value of cryptocurrencies and plans to contribute to the “development and market introduction of technologies based on open decentralized global networks.”

The release also claims that legislators and regulatory policy will “remain loyal” to the mining activities that form open, decentralized networks. In particular, the Committee found that crypto mining does not require government oversight, 

Mining does not require regulatory activity from governmental oversight bodies or other third-party regulations, this activity is regulated by the protocol itself and network members.

The release continues, 

We support any innovation using these digital technologies, even if they are partially unregulated and / or not defined by national law. We will create sandboxes for their evaluation and implementation, market need testing and risk management.

The Committee intends to promote the implementation of “best practices” in regulatory areas such as taxation and preventing fraud. However, the group will act in a manner to “facilitate” the interaction between financial and virtual asset markets. 

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