Ukraine Drafts Bill to Add Bitcoin to War Chest – Is a National Reserve Next?

Ukraine is reportedly taking steps toward adopting Bitcoin as a national reserve asset, in what could mark a change in its financial strategy amid the ongoing war with Russia. According to local media outlet Incrypted on May 14, a draft bill proposing the creation of a state Bitcoin reserve is nearing completion.

The initiative was confirmed by Yaroslav Zhelezniak, a member of parliament and first deputy chairman of the Committee on Finance, Tax, and Customs Policy.

Zhelezniak stated that the draft bill is in its final stages and would be submitted “in the near future.” He said earlier this year that a legislative initiative allowing crypto reserves was in the works, though no details were shared at the time.

Ukraine Inches Toward Bitcoin Adoption in National Financial Strategy

Information about Ukraine’s plans surfaced as part of a growing conversation around national adoption of digital assets.

While specifics remain limited, Zhelezniak’s confirmation marks a new level of seriousness in Ukraine’s approach to Bitcoin.

Support for the idea has also emerged from the private sector. Kirill Khomyakov, head of Binance in Central and Eastern Europe, Central Asia, and Africa, said that Binance welcomes Ukraine’s interest in creating a strategic crypto reserve.

“The creation of such a reserve will require significant changes in legislation,” Khomyakov said. “But it’s a positive step, as it may lead to clearer regulations on crypto assets.”

Ukraine has been actively working on crypto regulation over the past year. For example, in April, the parliamentary Committee on Finance, Tax, and Customs Policy unanimously approved a draft law on virtual assets.

However, the bill was recently withdrawn from consideration. According to Zhelezniak, this decision came at the request of the President’s Office, influenced by the stance of the National Securities and Stock Market Commission.

The commission later clarified that it had no authority to block the bill. It did, however, submit a list of 80 proposed amendments and comments to parliament.

Ukraine’s Bitcoin Push Faces Hurdles as Lawmakers Finalize Crypto Regulation and Tax Plans

While Ukraine’s reported plan to adopt Bitcoin as a national reserve asset indicates a bold shift in wartime financial strategy, the path forward remains complex and politically charged.

Behind the scenes, Ukrainian lawmakers are working to finalize a sweeping crypto regulation package, expected to legalize digital assets by early 2025.

According to Danylo Hetmantsev, head of the Verkhovna Rada’s tax committee, key discussions are ongoing between the National Bank of Ukraine and the IMF. Central to the draft bill are unresolved issues around taxation, financial monitoring standards, and regulatory oversight.

The proposed legislation includes a “transition period” for crypto holders unable to verify past purchases. Officials also plan to tax certain crypto transactions at rates up to 23%, excluding stablecoin and crypto-to-crypto trades.

A separate tax proposal intended to generate wartime revenue seeks a 5–10% levy on crypto income by mid-2025. The bill is expected to go through its first reading by March, with potential adoption by summer.

Hetmantsev emphasized that the National Securities and Stock Market Commission lacks the capacity to regulate the industry, suggesting the central bank may need to temporarily take the lead.

Still, not everyone is convinced. “The country is broke,” said Kuna exchange founder Michael Chobanian. “This is done only to divert your attention.”

Ukraine’s move follows a global pattern, with the U.S. and Sweden also eyeing Bitcoin as a strategic asset. Yet for Ukraine, grappling with war and economic fragility, turning BTC into a national reserve may prove to be more of a symbol than a solution.

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