Ukraine’s Central Bank Opposes Crypto Bill, Citing Monetary Sovereignty Concerns

Ukraine’s central bank won’t back a crypto legalization bill in its current form and wants lawmakers to revise it before a final vote. The National Bank of Ukraine (NBU) has formally raised significant objections regarding the draft legislation designed to establish a comprehensive legal framework for digital assets within the country.

Officials at the NBU emphasized that while technological innovation in financial markets is welcome, maintaining monetary sovereignty and defending the stability of the national currency, the hryvnia, remain paramount priorities. Central bank representatives warned that uncontrolled circulation of virtual assets could potentially undermine capital controls, accelerate capital flight, and weaken traditional monetary policy transmission mechanisms, especially given the macroeconomic pressures stemming from ongoing geopolitical challenges.

The central bank is urging parliamentary leaders to mandate stricter oversight mechanisms. Proposed revisions include granting the NBU expanded regulatory veto power over stablecoin issuers, enforcing mandatory reserves in fiat currency, and tightening Anti-Money Laundering (AML) standards. Until these safeguard measures are embedded directly into the text, the central bank maintains its firm opposition to the legislation as written.

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