Bitcoin Forum

First Russia now Ukraine it looks like most of the country from the east is going to accept digital assets. The high inflation of USD is the reason these country looking for a better alternative of storing value or its because of the tax revenue they are looking for? Is there any possibility these countries will announce bitcoin as a legal tender in the future as EL Salvador does?

I think it was Ukraine that was the first to acknowledge Bitcoin. There was a headline last year or I think it was 2019 where a politician admit he has Bitcoin and following that news was the government of Ukraine considering adopting BTC despite how corrupt and how the president act like a dictator. Among the countries that are resisting the fall of thier currency is Ukraine.

This time there is real news from NASDAQ published yesterday. https://www.nasdaq.com/articles/ukraine-legalizes-bitcoin

Bitcoin in Ukraine is previously in grey area, means they're allowed to trade and hold Bitcoin... so legalizing Bitcoin isn't really have many impact. IMO they're do this to creating hype and want to get respect from Bitcoin holders. I don't think Ukraine will accept Bitcoin as legal tender, obviously they will wait Russia first. If Russia has accept Bitcoin as legal tender, surely Ukraine will accept too and vice versa.

Actually a good move by the Ukranian government. If there's any time when their people might need Bitcoin the most, today is probably one of them — if it's the case that Russian Overlord Putin actually ends up going ham on them. (I hope not)

I tried looking at the rate which Bitcoin adoption has gone, look back at the introduction of the internet, people seems to have accepted/ embrace Bitcoin at the earliest stages than the internet despite having a hard by major countries and at most government introducing regulation policies.
They're not the first and won't be the last, great move by the Ukrainians.

Well, one of the positive things that might come out of that is :

1. If Russia invades the Ukraine, people will need a very fast way to move their wealth out of the country. So if they have converted their wealth into Bitcoin, it will be quick to transfer the wealth to another country where it will be safe.

2. A war will destroy the value of their Hryvnia (UAH) which is their local currency, so it might be good to push their local currency into a safe haven to retain it's value or even to increase it's value.

This is probably one of the sickest and most disgusting things I've ever read on this forum

So the positive thing is the destruction of a currency, the erasure of all wealth poeple of one of the poorest countries in Europe has so that some hyenas can lick their snout knowing their precious coins have jumped up 10%.
Are there absolutely no limits to what is good for bitcoin, now we wish for war, deaths, economical destruction, and poverty just so moar poeple buy moar bitcoin?

 The news   (https://www.google.com/amp/s/wap.business-standard.com/article-amp/markets/ukraine-legalises-cryptocurrencies-amid-soaring-tensions-with-russia-122021701454_1.html)

https://i.imgur.com/SOCc0wl.png

https://i.imgur.com/9ZU9fEF.png

Can this be an offshoot from the Russia and Ukraine political issue that both are now looking at cryptocurrency for financial transactions or they are just waking up to legalising bitcoin after El Salvador did it legislation. The adoption is gradually coming into Europe after covid-19 pendamic.

Well as we can see, this is somehow turning into a trend now which is good since it promotes this industry and gives way to faster mass adoption of cryptos. These countries are taking a gamble because they want to be ahead and they realize how the odds are in favor of this industry.

- I see no strong reasons why these countries wouldn't follow in El Salvador's footsteps since bitcoin is evidently doing well and has built a great identity all throughout the years which has made its reputation better and better as time goes by. Even people that were strongly against the ideology of crypto currencies have easten their words and invested themselves.

Anyway, the future is full of uncertainties and in the end, we can only hope for better days as crypto enthusiasts.

In the midst of the dispute, I'm still not convinced that Ukraine is focused on dealing with Bitcoin. That is indeed good in terms of economic support would be a good consideration as an alternative. But we all know that Ukraine is an ally of the United States in both import and export trade. The method uses Dollar, and there is something unique when Ukraine has not yet established Bitcoin as a legal payment, but only legalized it as an alternative investment and traded on par with stocks.

Not only trade and hold now companies can open businesses that would provide services related to bitcoin. I do not think they care much about what Russia's policy will be towards cryptocurrencies. Their primary focus is to attract new investors to their country who are enthusiastic about cryptocurrencies. One of the poorest countries in Europe surely wants to use the hype of bitcoin to attract new investors to their countries.

Ukraine is right now having a major crisis with Russia trying to mess most things up in lieu of diplomatic relations and their ongoing process of trying to go to war as well. They are already legalizing the mining considering the sanctions and at the same time they are trying to hold onto bitcoins Incase US and the NATO wages a war against them. Now we have to understand the fact that Ukraine was already very happy with the usage of Bitcoins and everything and they are not going to leave it alone as well, since it's a matter of great concern, legalizing bitcoins in paper might mean them having further opportunities to fund the war and at the same time to make things easier for people involved as well.

Of course it's possible that bitcoin can be the official alternative.
About the reasons, if Ukraine want to overpass the USD inflation, Russia is not forced to use USD and have other alternatives which are also related with the inflationary USD. We still don't know how people will pay tax revenue for their gains in bitcoin.

I think Estonia did something similar back in the day and they got some attention as well. Now Ukraine will get it as well, plus it could be a poor nation but it is a very "known" one because of all the Russian thing and even without that as well. This is why I believe that it could become like a "cayman islands of crypto" type of situation. We have so many huge 1+ billion dollars worth companies in the crypto world and they are all registered somewhere and paying their taxes but the laws are not clear there in some of them.

It means all of those nations could move to Ukraine and make their deal there. Binance for example is still not properly registered, I mean they are, but not properly and everything is done in a law loophole situation. Which means that we need to actually end up with something that is a bit better for all of us to feel better about them, and Ukraine could be the perfect place for it.

Estonia is a small country compared to Ukraine. The Crypto market is still unknown to many peoples and most of the govt doesn't know how to regulate them properly so that there won't be any inconvenience. It's much easier for a small country but for a big country like Ukraine, it's most challenging. They need to build up infrastructure and create new commissions to regulate and maintain bitcoin-related services. Ukraine already lost some part in Russia and there are still pro-Russian movements operating. I do not know companies will really be attracted to start their business in such a region where tension is high.

Russia has its own currency right, and Ukraine too maybe. USD is not their primary currency and I do not know if their was a problem with their own currency on why they legalize bitcoin or maybe they have other reasons.

Another question is did the us inflation do have an effect in certain countries? BTC can be a big help if there's a problem with a countries currency and it can also help the problems in inflation. The effect will be more effective if they legalize BTC as a legal tender on their country but I guess this can take some time since btc adoption on these countries have recently takes place. They are relaxing a bit before proceeding on their next move or plans.  

Legalizing Bitcoin is a great move by Ukraine since they might face bigger inflation especially if the war happens so this can be a win win situation for their citizen to at least have a good option either to use cryptocurrency or stick with their fiat money.

I just hope the tension there will slow down and things go back to normal, because legalizing Bitcoin really have a good impact in the whole market, let’s see more countries to do the same thing.

I think its even the tension between Ukraine and Russia that have encourage Ukraine to legalize bitcoin and all its activities. And considering the high inflation effects on their economy is just another factor too. I just hope Ukraine will get the advantage that they want to create from bitcoin. Hopefully, bitcoin will be considered a legal tender too in Ukraine like what El Salvador did.

To me this seems like a desperate move, I think that taking into account the political instability of the region then foreign investment probably has dropped to basically zero at Ukraine so they are trying anything they can to increase that amount even if it is just a little bit, and as such they have decided to give facilities to companies that deal with cryptocurrencies to establish themselves there, however even if this is positive I do not think they will attract a lot investment by doing this.

I guess no country will wish to create more tensions with other countries, as its better to have peace and create harmonious relationship between the two. And bitcoin right here is definitely a good option that will beat the inflation that they might suffer if they continue not to legalize bitcoin. While most of the countries now are now having good thoughts on bitcoin and are willing to legalize bitcoin, then no countries would want to be left behind and this why Ukraine has already decided take the lead.

in this era, i don't think countries should resort to actual war. the leaders can sit and discuss the matters peacefully. but i guess, ukraine and russia are just preparing for the worst, why suddenly both of them have good approach towards crypto. well, we always accept this positive action towards btc, right?
if noting else, they are promoting the use of btc and other crypto, which is good for adoption. and so the demand will further increase, hence, the price increase.  ;D

From what I understand from the previous posts, Bitcoin was already de facto legal in Ukraine. Now the parliament has made it de jure legal. I don't think that this really makes any difference on ground. If I am not wrong, Russia also recently adopted the same approach. We can argue that compared to nations such China (which have imposed a blanket ban on cryptocurrency), the approach from Ukraine is more conciliatory. And a few weeks ago India also adopted a similar approach after much debate.

I am pleased by your humanism and detest for blood money. But I don't think he wishes Ukraine war, but his analysis is based on: if war unfortunately erupts.

I do not know the meaning of "de facto" and "de jure" but I know they legalize bitcoin and other cryptocurrencies and define those as digital assets, not currency. That means bitcoin is not a legal tender in Ukraine yet like it is in el Salvador. Last year in September a similar bill was proposed in the Ukraine parliament but voted by their president by stating that Ukraine doesn't have the ability to create a new department for the regulator and maintain crypto assets.

Huge news for Ukraine..Bitcoin and crypto has been gaining a lot of attention.And I think this trend will continue for more countries in general.Based on my research,the reason why Ukraine legalized bitcoin, so that they could protect their assets from possible abuse (corruption) and to prevent fraud

https://www.notebookcheck.net/Ukraine-legalizes-Bitcoin-and-other-virtual-assets.601239.0.html

The bill that was passed to legalize crypto however does not recognize bitcoin as a legal tender, but maybe in the future they will consider adopting bitcoin as a legal tender, just like what El Salvador did. I guess aside from the fact that bitcoin could beat inflation, other reasons too why Ukraine has decided to legalize crypto its because with crypto there will be low taxes, light paperwork, and eventually it will attract foreign investments. So there's a lot of advantages crypto can bring into a country, which other countries are still blind to it. Source: https://fortune.com/2022/01/31/ukraine-crypto-superpower-russia-crisis-investors-bitcoin/

this is a good decision taken by the ukraine government, because then it will have a good impact on the development of crypto in the country

... also the ukraine government can take advantage of this crypto legalization, such as taxes, etc

hopefully in the future there will be more countries who dare to take action in the legalization of cryptocurrencies in their countries

El Salvador is a unique case. The president is not from one of the established parties and therefore he can take radical steps and disturb the status quo. The same is not possible with other countries that are being ruled by career politicians. Therefore in Ukraine and most of the other countries, I don't expect Bitcoin to be awarded the status of legal tender anytime soon. But the fact that they have made Bitcoin and some of the other cryptocurrencies de facto legal is definitely a step in the right direction.

That is sort of true. I mean it was definitely de facto legal, but in a world of governmental laws de facto legal means nothing for most big business', you can't just say "well let's start an exchange here and spend 10+ million dollars on it because it is de facto legal" and that would mean that you would spend money on a thing that is not illegal, but not really legal neither.

This is why it was de facto legal as in it wasn't a big deal for the regular citizen, but go ahead and try to make a business that earns a million dollars a month from crypto profits, that would have been hard to explain. So I could say it was "de facto legal to small investors" and wasn't great for big whales. Now it is great for everyone and that is the difference from what was and what is right now.

I think it is safe to invest in an asset that is taxable by the government. Ukraine parliament announced (https://bitcoinmagazine.com/markets/ukraine-legalizes-bitcoin) that there will be a regulatory framework to carrying out supervision and financial monitoring of the market and this task will be done by Ukraine's securities commissions. There is a country full of official involvement with this matter and I think they are taking this approach to attract big companies not only for small investors.

Well.. there is a dilemma being faced by investors like me. If we trust the government and include all the details of our cryptocurrency transactions in our IT return, what is the guarantee that in future they won't go back on their word and impose a blanket ban on crypto? If this happens, then we'll be sitting ducks, because the authorities will be having all the required details with them. I would wait for some time before showing the transactions in my returns. Unless their policy is clear, I am not going to trust them.

Their first priority is not taxing at the moment. They are expecting to bring big capital to the country by crypto investors and also stated that they are planning to be number one in this sector. They are just trying to create a safe environment for crypto investors by creating an authority responsible for the supervision and monitor this sector. Europe's poorest country just trying to improve the economical situation of the country and they are trying to use crypto to do this.

I do not trust them either because Ukraine's national bank stated that " digital currency has no value". These are some contradictory statements they are giving.

Every country has their own ways of doing things. I know that a lot of people would want them to make Bitcoin a legal tender, because I’ve already seen a few comments in the forum that were saying that they wanted Ukraine to make Bitcoin a legal tender, but that is not really necessary to me, they can decide on how they would want it to be but what really matters is that it is legal in the country.

As long as it is legal in the country people would be free to buy and sell Bitcoin, and also be able to use it to make some certain transactions. The thing would be that it wouldn’t be recognized as currency in the country, rather the main Ukrainian currency (hryvnia) would be the conventional currency that is being used, while Bitcoin is just an asset.

that's a good decision also for Ukraine to accept bitcoin after Russia,  and for the question about "tax revenue" well no one can tell as of now, but perhaps it will come to that point as well in the future since there are already some rumours about such thing.
And for legal tender it's up to them actually, but perhaps it doesn't matter as long as bitcoin is legal within the country there's no need to make it as a legal tender in my personal opinion because it's enough for bitcoin to be legalize.

If Ukraine will be able to make it as a legal tender, then that will be another big achievement for bitcoin. For me, its always matter because bitcoin can never be hitting its purpose if it remains to be a good store of value, it should be more globally used as a currency, to act as a legal tender, or it can a good alternative for the official currency. However, i know it will always be possible in the latter part, if El Salvador can make it, i guess Ukraine too has always been capable too.

An attempt to legalize cryptocurrency has been made since 2018-2019. In fact, an interesting situation arose in Ukraine at that time - since the advent of cryptocurrencies, there were no regulations that either regulated or generally defined what a cryptocurrency is. During this time, in our country, many have earned very well, and a second problem arose - fiscal! How is it that people make a profit, but you can’t take taxes!? :) But, it turned out that many "gray cardinals" and those in power who would not much like such legalization are very much tied to the cryptocurrency. Today, there are laws. No, bitcoin did not become an official means of payment. But it was recognized as an asset, there is a general picture, there is an understanding of the essence of cryptocurrency in the market. In any case, this is a good step, and an opportunity to develop new lines of business, and an opportunity to influence entire industries in the country's economy!