Ukraine Finalizing Bill That Could See It Become Next Country To Adopt A National Bitcoin Reserve

Ukraine is reportedly edging closer to making Bitcoin a strategic national reserve asset, a move that could strengthen its economic standing amid the prolonged war with Russia.

This initiative is being developed in collaboration with Binance, the world’s largest crypto exchange by trading volume.

Ukraine Eyes National Bitcoin Reserve In Collaboration With Binance

Yaroslav Zhelezniak, a Member of Parliament and the First Deputy Chairman of the Finance, Tax, and Customs Policy Committee, told Ukraine-based media outlet Incrypted that lawmakers are currently working on a national reserve proposal.

The draft bill is currently being finalized and will be submitted soon. Zhelezniak had mentioned preparing “a draft law” allowing the establishment of crypto reserves earlier in February.

According to Incrypted, Binance is supporting Ukraine’s push for a national BTC reserve. While the report noted active cooperation between the global digital asset exchange and the Ukrainian government, it did not give details on the scope of the partnership.

Ukrainian President Volodymyr Zelensky officially legalized the nation’s crypto sector in 2022, determining the industry’s regulators and giving them the green light to craft specific regulations. The National Bank of Ukraine is currently working on a draft law based on the European Union’s (EU) Markets in Crypto Assets (MiCA) regulation.

Will Ukraine Make History?

Bitcoin has garnered attention globally as a national reserve asset since the return of Donald Trump to the White House. On March 7, President Trump signed an executive order authorizing the creation of a Strategic Bitcoin Reserve and a separate digital asset stockpile.

Other countries like the Czech Republic and Brazil are now considering Bitcoin as a reserve asset. However, no European nation is currently looking at whether or not to add to its reserves.

If the bill is passed, Ukraine would become the first country in Europe to create a national Bitcoin reserve. 

Binance CEO Richard Teng revealed during an interview with The Financial Times last month that the company is working with several countries on creating strategic Bitcoin reserves and drafting crypto regulations.

Despite the recent regulatory progress, the US, El Salvador, and Bhutan are the only countries that have already established a Bitcoin reserve to date.