EU states adopt world's first comprehensive crypto rules
On Tuesday, May 16, at a meeting of EU finance ministers in Brussels, the 26 countries of the European Union approved the world's first set of rules governing the use of cryptocurrencies. The rules are expected to be rolled out from 2024.
Reuters reports citing Swedish Finance Minister Elisabeth Svantesson.
"Recent events have confirmed the urgent need for imposing rules which will better protect Europeans who have invested in these assets, and prevent the misuse of crypto industry for the purposes of money laundering and financing of terrorism," said Elisabeth Svantesson, Finance Minister for Sweden.
Cryptocurrency regulation has become relevant after the FTX exchange collapse. The new rules require companies that want to issue, trade and safeguard cryptoassets and stablecoins to obtain a license that will be valid in 27 countries of the European Union.
By facilitating the tracking of transactions, such rules will prevent tax evasion and the use of cryptoassets for money laundering. Also, a requirement was agreed upon that starting in January 2026, service providers will have to indicate the names of senders and beneficiaries of cryptocurrency transfers, regardless of the transfer amount.
In Ukraine, cryptocurrency regulation has its own peculiarities: starting from March 15, 2022, foreign and Ukrainian crypto exchanges can legally operate in the country, and banks are free to open accounts for companies engaged in cryptocurrency transactions. Ukrainians who own cryptocurrencies are guaranteed judicial protection of the rights of virtual asset owners.
According to the Global Crypto Adoption Index, Ukraine ranks fourth among countries in the world in terms of cryptocurrency trading. The crypto market has also become a powerful tool for combating Russian military aggression. Well-known volunteer organizations have managed to accumulate cryptoassets worth millions of dollars.
"Since the beginning of the war, crypto assets have become a powerful tool for raising additional funding to support the Armed Forces of Ukraine." said Mykhailo Fedorov, Minister of Digital Transformation of Ukraine, in his Telegram commenting on the signing of the new Law on Virtual Assets.