Ukraine will soon move to legalize cryptocurrencies according to Alexander Bornyakov, an official who is set to be appointed as a deputy minister to the Ministry of Digital Transformation in the country.
Speaking in a report by local news agency, Liga.net, Bornyakov revealed what the future would hold for cryptocurrencies in Ukraine, with the current status being that they are not legalized nor banned for citizens.
According to Bornyakov, Ukraine will soon legalize cryptocurrencies with one eye on taxing activities related to the new kind of assets.
The official reportedly said that “people who are engaged in [cryptocurrencies] should come out of the ‘gray zone’ and begin to pay taxes,” before adding that they would “capitalize on miners” and subsequently traders, plying their trade in the country to raises taxes.
Beyond giving cryptocurrencies a legal status and generating revenue for the state through it, Bornyakov also told reporters that Ukraine will explore other possible use cases for the underpinning technology, blockchain.
He confirmed that the government would work on moving public registries and other relevant documents to a state-owned distributed ledger system that would allow easier access to all parties involved.
Notably, Ukraine’s potential involvement with cryptocurrencies and blockchain technology is all thanks to the country’s new Deputy Prime Minister for Digital Information, 28-year old Mikhail Fedorov. Federov who served as the Chief Digital Strategist for recently elected Ukrainian President, Vladimir Zelensky wants to set the country on the path to innovation and protect businesses operating within their jurisdiction.
In a similar development, we reported that Turkey is working on the creation of blockchain infrastructure for its government administration.